M-Wave to acquire 160 acres of land to be used as a wind farm
M-Wave, Inc. has forayed into the renewable energy sector by entering into a definitive agreement to acquire 160 acres of land to be used as a wind farm in Tehachapi, California.
The company plans to change its name to Green St. Energy to reflect its new operations.
Under the agreement, M-Wave will acquire the land through the issuance of one million shares of restricted stock.
Tony Cataldo, chairman and CEO, M-Wave, said Tehachapi is the ideal location to develop wind farms, due to "the proximity of transmission lines, highly desirable topography and friendly regulatory environment".
"We believe this land acquisition represents the initial phase of building a world-class renewable energy company," said Cataldo.
The land is located at the highest point of the ridge line in the area, which results in a higher level of wind. According to the company, Tehachapi, located between Bakersfield, California and the Mohavi Desert, is recognised as a prolific area for the production of energy from wind. The company is also in negotiations with the same land owner to acquire an additional 4,840 acres.
Some of the companies with operations in the area include GE Wind, Mitsubishi, Florida Power & Light and Horizon Wind Energy.
(It has been stated that M-Wave entered into a real estate purchase contract with The Nacelle Corporation for the purchase of 160 acres of unimproved property in Tehachapi. The terms of the Purchase Contract provide for a cash equivalent purchase price of $250,000 in the form of one million (1,000,000) restricted shares of the company's common stock, par value $0.005 based upon the closing price of $0.25 for the its common stock on January 12, 2009. The transaction is subject to customary due diligence and closing requirements).