Under the terms of the LOI, Eden Renewable will be the granted the exclusive right to produce and market to the Canadian provinces of Newfoundland & Labrador, Nova Scotia, New Brunswick, and Prince Edward Island.
Eden Renewable will pay New Generation Biofuels a licensing fee of $0.10 per gallon of biofuel produced and sold. These terms are subject to product testing and manufacturing milestones which include that upon final completion and commissioning of a manufacturing facility of at least 20 million gallons of annual production capacity, Eden Renewable shall be expected to generate minimum annual sales of 5 million gallons in the first year, 7 million gallons in the second year and 10 million gallons in the third year following the completion. Thereafter the minimum production quantity is expected to increase annually by 1.5 million gallons per year, up to 15 million gallons per year of annual sales.
