SXI Synex Renewable Energy Corporation

VANCOUVER, Nov. 9 /CNW/ -- TSX : SXI VANCOUVER, Nov. 9 /CNW/ - For the three months ended September 30, 2010 ("Q1 2011"), energy sales and consulting revenue increased to $424,526 as compared to $374,199 in the corresponding period in fiscal 2010 ("Q1 2010"). The increase in revenue in Q1 2011 as compared to Q1 2010 is due to increases in electricity sales from each of the Mears Plant, the Cypress Plant and the Kyuquot Utility and an increase in consulting revenue. In addition to energy sales and consulting revenue, Q1 2011 includes other income of $300,000 from the proceeds of an option with a third party for the purchase of some water licences of the Engineering Division (the "Option Payment"). The net loss for Q1 2011 was $73,672 as compared to a net loss of $478,051 in Q1 2010. A net loss in the first quarter is expected as the generation from hydro plants in the first quarter normally represents less than 10% of annual forecast generation. Excluding the Option Payment, Q1 2011 is comparable to Q1 2010 with Q1 2011 having increased interest on long term debt being offset by higher revenue. The loss per share in Q1 2011 was $0.00 as compared to a loss per share of $0.02 in Q1 2011. On August 19, 2010, the Company announced that the Engineering Division had entered into an Option Agreement dated July 23, 2010 with an unrelated third party. The Option Agreement provides the third party with the right to purchase a number of applications for water licences and land tenures held by the Engineering Division as well as other related rights. The Option Agreement has a latest exercise date of December 2011. The Option Payment was $300,000 and has been included as other income in the financial statements of the Company. During Q1 2011, the Barr Creek Limited Partnership ("BCLP") and its general partner Barr Creek Hydro Ltd. ("BCHL") continued to advance the Barr Creek Hydro Project including initial construction of access roads. Subsequent to the end of Q1 2011, the Company announced that the Power Division and the Ehattesaht Tribe had subscribed for partnership units of BCLP and shares of BCHL. The Power Division subscribed for 90% of the units and shares and EFN subscribed for 10% of the units and shares. Under a separate agreement, EFN has the option up until January 14, 2011 to purchase from the Power Division an additional 10% of the units and shares. At September 30, 2011, the Company had a cash balance of $637,471 which includes $287,181 of cash held within BCLP. The Company has drawn down $360,000 of its $500,000 revolving credit line with the Canadian Western Bank. BCLP has executed a Preliminary Credit Agreement in respect of the Barr Creek Hydro Project with the Canadian Western Bank and the Company is not expecting in the near future to provide additional cash to BCLP. Synex International Inc. is a public company, trading on the TSX since 1987, with business interests that cover the development, ownership and operation of electrical generation facilities and the provision of consulting engineering services in water resources, particularly hydroelectric facilities. "signed" _____________________________________ Greg Sunell, President p400 - 1444 Alberni Street, Vancouver BC V6G 2Z4br/ Phone (604) 688 8271 Ext. 309 Fax (604) 688 1286br/ E-mail: a href="mailto:gsunell@synex.com"gsunell@synex.com/a Web Site: a href="http://www.synex.com"www.synex.com/a/p

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