NEW YORK, June 27, 2006 (PRIMEZONE) -- Vitasti, Inc. (OTCBB:VITS) (the "Company") is pleased to announce that it is presently in discussions with several financiers to raise debt and equity capital for current projects. Negotiations are favorable in raising capital at various levels to meet immediate and future needs of the company. The company is also finalizing discussions with additional members to join its board of directors.
Update of Management Trip to China on June 15th and 16th
Management of WEIC and the company recently attended the Renewable Energy Finance Asia Conference in Hong Kong on the 15th and 16th of June. The investment forum brought together International Industry leaders and presented networking discussions from Carbon markets and alternative energy. Investors, Fund managers, Utilities Government, Asian Development Banks, The World Bank and the United Nations (www.energyefficiencyasia.org) were among those in attendance, providing experience and perspective to this growing market. The event clearly solidifies the confidence of renewable energy in Asia and provided WEIC with numerous networking opportunities.
WEIC was able to spend one on one time with representatives of the International Finance Corporation/World Bank (www.gcgf.org) to discuss international developments and economic growth of the company.
While in China, WEIC formally signed the commitment for a land lease pertaining to the Zhanjiang wind farm. As announced earlier, wind data has already been gathered for this property and build out of the project is now proceeding. The installation of the demonstration turbine is to occur within 90 days and the company being in receipt of concurrent funding.
WEIC plans to build forty-nine (49) megawatts in the first phase of a six hundred (600) megawatt wind farm on this property. Construction will begin with the arrival of one demonstration wind turbine which will produce enough electricity to power more than one thousand (1000) homes. In regards to the Yangxi wind farm project, the base is now complete for the installation of the 100 meter meteorological tower. The data collected over the next year will provide the necessary information required to build out the wind farm. The Yangxi wind farm will start as a 49 megawatt project building out to 400 megawatts.
Potential Value of Wind Project in Zhanjiang (based on 49 megawatt)
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Yearly Cash Flows
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Year Pre-tax After-tax Cumulative
# $ $ $
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0 -19,303,158 -19,303,158 -19,303,158
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1 6,169,545 6,169,545 -13,133,613
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2 6,615,136 6,750,139 -6,518,477
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3 7,077,269 7,077,269 558,792
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4 7,556,626 7,556,626 8,115,418
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5 8,053,922 8,053,922 16,169,340
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6 8,569,904 8,569,904 24,739,244
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7 9,105,351 9,105,351 33,844,595
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8 9,661,076 9,661,076 43,505,672
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9 10,237,935 10,237,935 53,743,606
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10 9,582,330 9,582,330 63,325,937
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11 4,420,054 4,420,054 67,745,991
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12 4,713,881 4,713,881 72,459,872
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13 5,015,054 5,015,054 77,474,925
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14 5,323,756 5,323,756 82,798,681
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15 4,220,843 4,220,843 87,019,525
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16 13,297,536 13,297,536 100,317,060
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17 13,629,974 13,629,974 113,947,034
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18 13,970,723 13,970,723 127,917,759
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19 14,319,991 14,319,991 142,237,750
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20 13,072,147 13,072,147 155,309,896
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21 15,044,941 15,044,941 170,354,838
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22 15,421,064 15,421,064 185,775,902
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23 15,806,592 15,806,592 201,582,494
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24 16,201,756 16,201,756 217,784,249
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25 16,606,800 16,606,800 234,391,049
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Summary -- The above yearly projection is based on the historical wind speed for the area of Zhanjiang. The figures reflect projected financials on a 49 megawatt install only. Plans for this particular project are to add an additional 100 megawatts in year two and to continuously install up to 600 megawatts for the next 10 years.
This news release contains forward-looking statements as defined by the Private Securities Litigation Reform Act of 1995. Forward-looking statements include statements concerning plans, objectives, goals, strategies, future events or performance and underlying assumptions and other statements, which are other than statements of historical facts. These statements are subject to uncertainties and risks including, but not limited to, risks set forth in documents filed by the company from time to time with the Securities and Exchange Commission. All such forward-looking statements, whether written or oral, and whether made by, or on behalf of, the Company, are expressly qualified by these cautionary statements and any other cautionary statements which may accompany the forward-looking statements. In addition, the Company disclaims any obligation to update any forward-looking statements to reflect events or circumstances after the date hereof.