Global Ecology (GLEC) declared that it has completed a Letter of Intent with Noida, India-based Esoft Informatics for developing a solar thermal energy project in India.
Under the terms of the accord, Global Ecology will initiate GEC Energy, a new U.S. auxiliary company, and it will be collectively possessed by Global Ecology and Esoft.
On completion of the definitive accord and receipt of documents the newly formed GEC Energy will get delegated rights for a value of $25 million Standby Letter of Credit from a U.S. Trust with AAA rating. Such an arrangement will enable GEC Energy to receive necessary finance for developing its first ever solar thermal project in India.
Currently, Esoft possesses a memorandum of understanding (MOU) for constructing a 6 MW solar power plant. Esoft will delegate the MOU to GEC Energy and offer the required funding. For the purpose of setting up the project, Esoft and its associate, Rubious Industries have obtained working capital lending terms from a leading bank to get credit facility to the tune of $2.5 million.
Source: http://www.geco.us/