Biogas Nord

Blue Sphere Signs a Definitive Project Agreement for a 5.2 MW  Waste to Energy Plant in North Carolina and a 3.2 MW Waste to Energy Plant in  Rhode Island 24.10.12 | 14:02 Uhr |
EVEN YEHUDA, Israel, October 24, 2012  /PRNewswire/ --

Blue Sphere Corp. (OTCBB: BLSP) (the "Company" or "Blue  Sphere"), a company in the Cleantech and Waste to Energy sectors as a project  integrator, is pleased to announce that it has signed a definitive project  agreement to implement two waste to energy projects - a 5.2 MW plant in North  Carolina and a 3.2 MW plant in Rhode Island. The total revenue from these  projects is projected at $150,000,000 over the next 15 years.

In this  connection, Blue Sphere has entered into a joint venture with Biogas Nord  AG, a German company and one of the world's leading EPC and waste to energy  technology companies with over 400 waste to energy installations in operation  around the world ("Biogas Nord"). Biogas Nord will work together with Blue  Sphere to implement these two projects and to implement another 50 MW of waste  to energy projects in the United States over the next few years, as Blue  Sphere has an option to implement another 10 projects. Biogas Nord will also  train the joint-venture company to perform service and maintenance, which will  lead to additional significant revenue from service and maintenance  contracts.

Each of the project sites already has a signed, 15-year  power purchase agreement with two of the largest utilities in the United States.  Blue Sphere is in the process of finalizing the other elements of the project,  including feedstock agreements, land, debt and equity financing and tax credit  monetization.

The waste to energy market in the United States and around  the world is growing exponentially. There is an endless supply of waste that  requires a solution. Currently, most waste is landfilled or disposed of in  environmentally unfriendly ways. Our solution is environmentally friendly and  reduces global warming. Additionally, in the US, these projects benefit from tax  credits that effectively return 30% of the project cost to the investor within  weeks after the project has been commissioned. In Europe and elsewhere around  the world, these projects benefit from high feed-in-tariffs. In either case, the  internal rates of return to be achieved in implementing these projects can be  30% and higher.

"This represents a major break-through for the Company.  We made a strategic decision to enter the waste to energy market in the end of  2011 and these projects are the first of many we intend to implement over the  next couple of years. Our joint venture with Biogas Nord gives us the  technological know-how and advantage in implementing any waste to energy project  wherever it may be located. Biogas Nord is also training us in service and  maintenance, so, after we are comfortable with our skills, we will enter into  this business, as well. We already have an option on 10 more sites in the United  States and are adding additional waste to energy sites in the US and around the  world." said Shlomi Palas, CEO of Blue Sphere Corp.

About Blue Sphere  Corp.

Blue Sphere Corp. is a company in the cleantech sector as an  Emission Reduction Project Integrator. Blue Sphere develops projects for  greenhouse gas emission reduction and renewable energy production. The Company  aspires to become a key player in the global carbon reduction market, helping  enterprises with high pollution emissions achieve their green goals. For further  information please visit the Company's website  www.bluespherecorporate.com