Nova Scotia Land Lease Request for Proposal
Welcome Nova Scotia Land Owners!
Project Update (November 7, 2012):
You may have heard about the recent news: Closure of Minas Basin Pulp and Power mill a blow to Nova Scotia paper industry
We are in communication with management at Minas Basin Pulp and Power, Minas Energy and Government officials. We are sensitive to the situation in Hantsport. We are continuing with the development of the biomass project in Hantsport which we believe remains sustainable, growth oriented, and contains elements which offer significant opportunities for medium and long term rural employment growth for the Province and its citizens. We will keep you informed as we work and progress towards these goals.
This means that land owners should not expect lease offers until mid 2013 and there is still time to apply.
Apply by Fax: - "Application Form & Price Offer"
Leasing Information: - "Lease Your Land - the Opportunity"
The Project - "From Field to Electron in Nova Scotia"
Pro Farm Energy Inc. (“PFE”) in conjunction with Minas Basin Pulp and Power ("MBPP") is developing a power plant in Hantsport to deliver electricity to Nova Scotia Power Inc. PFE is seeking to lease underutilized agriculture land (e.g. hay ground) to grow a biomass fuel called Miscanthus Giganteus to fuel the power plant in Hantsport located near the paper mill. The power plant will be fueled with both wood and Miscanthus energy crops grown on underutilized farm land. The power plant is scheduled to go into service in the fourth quarter of 2014. Miscanthus energy crops will be planted starting in the spring of 2013 and planting will continue in the spring of 2014.
PFE is seeking to lease underutilized agriculture lands within a 200km distance to Hantsport. Land currently being utilized for hay or row cropping and heavier in nature is preferred. PFE is offering lease pricing (click here if link doesn't open) to land owners interested in applying. Annual harvesting will take place from November to May as field conditions permit. PFE will be performing the planting and harvesting services. The crop is cut and baled similar to hay and bale stacks of Miscanthus will be stored on farm for access by trucks to load and transport the biomass to the power plant throughout the year. The Miscanthus bales are loaded in a couple of days or less but the time of year for loading will vary from farm to farm.
PFE is offering Land Owners a 20 year lease contract with 3 years advance lease payments and also offering Nova Scotia Consumer Price Index (CPI) payments beginning in year 4 through to year 20. PFE is offering a price per acre. Applicants may optionally offer a discount or premium per acre above or below “Offered Lease Pricing” and this will be taken into consideration during the lease selection process.
PFE will select successful applicants for the RFP by the end of summer or early fall, 2012 by executing an Option to Lease and priority will be given to those applicants applying earliest subject to distance, price, lease duration, and field quality. Applicants will be notified within 30 days following the RFP period if they were successful or not in the RFP. Successful applicants will be granted a lease, which will be registered by PFE, and advance payments will be made by the end of the year in 2012.
The RFP Process
The RFP Process is accomplished by utilizing the internet. If you require assistance with the Lease Process, please contact our offices and an Agent will be assigned to assist you.
The RFP process involves 3 stages, the Application, Completing the Documents and Document Delivery.
1) Application. RFP applicants can quickly apply to the RFP process by filling out the application form HERE or clicking on “RFP Application” link at the top of this page. The application collects details about your land and is designed to collect the necessary information for PFE to determine the documents that will be required of you to successfully allow PFE to register a lease on your property. Once the initial application is completed, PFE will determine which documents you will be required to complete the RFP process and will then grant you access to those documents by assigning you a login and password to the RFP Files server.
2) Completing the Documents. A secure server containing the documents that must be completed will be granted to the applicant by end of summer 2012. Every applicant will be asked to review and complete the documents. The documents that will be required by every applicant include: Option to Lease Agreement, Lease Agreement, Miscanthus Plant Protection Agreement and a Map of the proposed lands. Additional documents required may include: a copy of your mortgage, a waiver to lease from your bank, independent legal advice form and other Warranty and Representation documents. The documents will then be reviewed by PFE after the applicant submits them back to the RFP Files server. Submission of documents may be done electronically, faxed or mailed. If the documents are incomplete or require adjustment, the applicant will be notified and the document will be available for correction for subsequent re-submission. There will be help documents and detailed instructions available to each applicant located in the RFP Files server. A standard internet browser, PDF reader, Google Earth, and email are all that is required to use the RFP Files server in this process. Upon successful completion of this stage you will be notified to proceed to the next step.
3) Document Delivery. Upon written approval from PFE, each document will be required to be completed with 3 copies and mailed to our escrow agent. The Escrow Agent will receive 3 copies of the executed forms via mail. The address of the Escrow Agent is provided in the RFP Files server. The Escrow Agent will hold the signed Lease Agreement until PFE decides to execute the Lease Agreement. The Escrow Agent is utilized to provide protection to you by holding on to the signed leases until PFE executes the Lease Agreements and provides you payment prior to registering the Lease.
1) Optioning & Suitability Study. Successful RFP applicants will be delivered an Option to Lease via mail along with payment for the Option to Lease of $100. This Option allows PFE some time to determine if the land will be suitable Lease. PFE may require soil samples and access to the property to determine if the proposed land will be suitable for the business. PFE will be offering applicants Option to Lease near the end of summer 2012. This process does not involve any work or expense on the part of the RPF applicant.
2) Lease. PFE will be awarding selected land owners with signed Lease Agreements by the end of 2012. Leases will have commencement dates starting in late 2012 or late 2013. The Escrow Agent will be making executed Lease Agreements available along with payment and PFE will then be registering the Lease Agreements. This process does not involve any work or expense on the part of the land owner.
An electronic form has been made available to pose questions Here. Applicants will receive a response to their question, via email, in the order in which it was received. Applicants should also refer to the Frequently Asked Questions area of this site prior to sending a question. PFE will be posting relevant questions and answers in this area. PFE will also be hosting conference calls and applicants will be notified, via email, with times and details.
Apply to the RFP HERE
Dr. Emily Heaton introduces Miscanthus. Miscanthus is a sterile, non-invasive, perennial crop, planted once and harvested annually, offering the highest yields producing more than twice the energy per acre than switch grass and other crops. One acre of Miscanthus produces on average 200,000,000 Btu's of useable energy.
Miscanthus is planted using customized rhizome planting equipment. The crop is planted in the first year vegetatively, via rhizome roots, and requires 3 to 4 years to achieve full production.
Miscanthus is harvested annually using standard hay cutting and baling equipment.
Storage & Delivery
Bales of Miscanthus are collected and stacked at the ends of the fields for subsequent delivery to the power plant as needed throughout the year.
More Miscanthus Information
Dr. Stephen Long comments on Miscanthus production.