[September 16, 2004] Digital Gas Joins Quanta Consortium to Build Two 400-Megawatt Waste-to-Energy Plants in Taiwan NEW YORK --(Business Wire)-- Sept. 16, 2004 -- Digital Gas, Inc. (OTC Pink Sheets: DIGG) Digital Gas announced today that its subsidiary, Digital Energy & Farming Asia LLC ("DEFA"), has signed an agreement to join the Quanta Energy Environment Consortium, which has received approval from the Taiwan Government to build two 400-MW waste-to-energy plants in Taiwan. Quanta received foreign investment approvals from the Investment Commission of the Ministry of Economy on August 10, 2004 for the plants which are anticipated to cost $425 million each. After it obtains a business license, which is a formality after the payment of a fee, the Taipei County Government, which has reserved a 50-acre site for the Quanta Consortium in the Economic Development Zone, will transfer the land to the consortium. Known as the "Reclaimed Land Under Sanying Bridge," the property is valued at US$142,830,000. The consortium's second plant will be located in Kao-hsiung County. DEFA, which owns a 2.5% non-dilutable equity interest in the two projects, will coordinate all financing for the consortium, as well as technical matters relating to an adjacent farming facility and the use of fuel cells and nanotechnology. DEFA can earn up to 37.5% of the equity in the two projects. The waste-to-energy plants will employ a waste-processing technology that converts municipal, industrial, and residential waste streams to a by-product that, when burned, is not only environmentally clean and safe, but is 50-80% more efficient than burning conventional RDF. The Taiwan principals, led by Henry T. Hsu of Taipei, have more than 50 years of experience in business in the Asian market. The US principals, led by Kenneth Ealba of Detroit, Michigan, have more than 30 years of experience with corporations such as Asia Pacific Petrochemicals Company, Taiwan, and Qingdao Liancheng Petrochemical Company, Shangdong Province, PRC and the Almana Group, one of the largest business houses in Qatar. The Quanta Consortium has extended to DEFA the right to partner in future projects in Korea, Japan, and the PRC. Digital Gas is pleased to announce that it has opened an office in Hong Kong and that Ferdi Stolzenberg, CEO of Elegant Fortune Limited, a long-established consultant group in the niche markets of shipping, finance, the trading of bulk commodities and petroleum products, has agreed to serve on the Board of Directors of DEFA. Mr. Stolzenberg was born in Germany and has lived and worked in the corporate communications industry for some 35 years, 23 of which have been in Hong Kong. In 1990 he became one the founding partners of the MTI Network, an international network specializing in crisis media management and other marketing communications exclusively for the shipping industry, worldwide. He has been involved in importing and distribution of wine and various bulk commodity-trading interests, focusing on the China import/export market with local contacts in Hong Kong. His 23 years of living and working in Asia have given him extensive and practical experience of Asian cultural and business practices, specifically in the shipping and international trade areas. He is fluent in English and German and is a member of the Foreign Correspondents' Club, the Royal Hong Kong Yacht Club, and the Australian Chamber of Commerce; the company is a member of the Hong Kong Shipowners' Association and the Hong Kong Chamber of Commerce. Digital Gas is pleased to announce that Richard A. Earle, a partner at Patton Boggs LLP, based in Washington, DC, has agreed to serve on the Board of Directors of Digital Energy & Farming Asia. Patton Boggs, LLP is the Legal Counsel for the Quanta Consortium. Mr. Earle has been practicing private international law for over 30 years. In this capacity he has participated in numerous international transactions, including export financing transactions involving the Export-Import Bank, the Overseas Private Investment Corporation, the U.S. Agency for International Development, the Economic Development Corporation of Canada, COFACE of France, and Hermes of Germany. He has served as counsel for U.S. and foreign exporters, borrowers, and lending institutions. He is currently assisting a country in rescheduling its international debt with the IMF, World Bank, and commercial lenders. Mr. Earle has negotiated a number of loan agreements with the Arab Republic of Egypt under the U.S.A.I.D. program, arranged Asian dollar financing in connection with export financing for third-country projects, and arranged for the discount of LDC corporate and sovereign debt instruments with coverage from the Foreign Credit Insurance Association. He has litigated international corporate and financial disputes with the cooperation of local counsel in Singapore and other countries. Mr. Earle received his J.D., his MBA, and his B.B.A., from the University of Michigan. Ms. Bing Xu, an Associate at Patton Boggs, LLP, has been the person responsible for coordinating and administrating the logistics between the Quanta Consortium and the various corporate and governmental entities in Taiwan. In addition, she was responsible for the negotiations leading to the entrance of DEFA into the Quanta Consortium. Ms. Xu specializes in international trade matters, including export control and compliance, as well as customs and trade policy issues. Her trade policy experience extends to matters involving the WTO, NAFTA, and other regional and bilateral agreements. On behalf of foreign sovereigns, Ms. Xu monitors legislative and regulatory issues related to world trade. Ms. Xu works with clients to develop business opportunities in Asia, particularly in China and Taiwan, including communication and negotiation with various foreign government agencies, product registration and distribution, market penetration and joint-ventures. Ms. Xu helps clients identify potential sources of finance and prepare business plans for project finance and draft documentation in the applications and funding process. Ms. Xu is published in leading international trade publications and is a frequent guest lecturer. She received her J.D. at Catholic University of America; her M.A. at the University of Texas at Dallas and her B.A. at the Foreign Affairs College, Beijing, China. A subsidiary of Digital Gas signed an agreement this week that gave it an assignment of an option to purchase a small, but quite strategic, gas company based in Montgomery County, Kansas. The gas company currently nets approximately $1 million from gross combined oil & gas revenue of $1.75 million. The purchase price will be $3 million and will include 8,000-10,000 highly prospective acres to drill additional oil & gas wells. An announcement regarding the finalization of debt and equity funding for all of its gas company purchases in Southeastern Kansas is imminent. For further information: call Brian Smith (732)-927-4073 or email [email protected]. [ Back To TMCnet.com's Homepage ]