Keewatin Windpower Corp is a development stage company with the intention of becoming a power producer. The benefit of doing business in Canada, is the extensive government studies available for feasibility studies within the regions such as Saskatchewan. Saskatchewan is primarily a very alternative energy, mining, and power friendly region of Canada to do business.
There is an active market in Saskatchewan, and if the firm is capable of raising the roughly $115,000,000 they will most likely need for building and continued operations the company will have a good chance of becoming an important market player in independent power production in Canada.
The only immediate concerns would be that the company has 100,000,000 authorized shares, of almost 12,390,000 shares have been issued. I would assume the company would aim for a share price of $1.25 or higher to achieve financing goals, of which it currently trades at $0.56. On a reassuring note we have seen in the past, financing commitments and power purchase agreements often finance a project without dilution and could change the price and scope of this companies share value.
With careful review of the filings, the company has roughly $200,000 on hand and is working with a firm called Aspire to assist in raising funds and market awareness, however, little market awareness or funds seem to have been achieved by this agreement to date aside from an interview which only received distribution and exposure through a press release. I do notice Aspire has a blog, which is promising, but the level of social media marketing, integration into major websites, and actual following size is hard to define without analytics. The background of Todd M Pitcher seems impressive enough for them to possibly achieve financing, however, a cooperative financing with venture capital firms and institutional money and brokers would be necessary for the lofty requirement and goal discussed.
My advice to the company would be to focus on the contracts financing and factoring of the power purchase agreements and possibly Government funding where they are qualified to receive it. The ability to raise funds through the sale of shares as a development stage company will depend greatly on the stage of development of the project and reviews within Saskatchewan, in addition, to the costs of acquiring the rights to erect the wind towers. The current share price is promising for at least financing the necessary acquisition funds, property rights, and such, however, the large scale implementation of the project will likely have to occur as debt or a partnership with a financially stable firm.
The company is typical of a development stage company on the over the counter bulletin board with a market cap of $6.94 million, 12,390,000 shares issued, 100,000,000 authorized, and roughly $200,000 on hand, with minimal share volume, and the need for financing immediately. However, the ability for alternative energy contracts, power purchase agreements, joint ventures, and non-dillutive financing is promising for balancing the overall structure of the company to what the companies true potential could be as a power producer in Saskatchewan.