81 million dollars casino energy plant could be worthless !
Since a while, a project has been tossed up to power the Caesar Windsor casino. It was a dedicated energy plant. So far, it has cost taxpayers $81millions dollars. And we just learned it might be worth nothing ! According to a report. The initial price tag was to be 40 million dollars. The construction so far has gone well.
The plant was built by the OLG (Ontario Lottery and Gaming Corporation). They are the Ontario regulator for gambling and lotteries. They built the energy center in order to ensure sufficient power to the Caesars Windsor casino. The latest one having gone through a massive expansion over the last years.
Then on Nov. 21, 2008, a report from Cole Valuation Partners said that “under all scenarios, the [net present value] is well below the cost of the Energy Centre of more than $80 million.” While the report explicitly states it is not intended to be a final valuation of the project, it is billed as a “preliminary financial analysis.” It appraises the value of the facility under a number of scenarios based on differing returns from the sale of energy to the casino and to the provincial power grid.
It finds out that the energy center would fetch at most 21 millions dollars if sold in the private market. And in the worst case scenario: it would be worthless.
The Caesar Windsor casino is located in Windsor, Canada. It has lots of slots machines, including Monopoly-related ones !
The Poker Room is open 24 hours a day, 7 days a week and is located on the second floor. There are 14 tables offering Texas Hold’em, Omaha and Seven Card Stud. Table limits vary, starting from $3 to $6 (CAD) up to unlimited amounts. This room offers a cashier cage and cocktail service.
Some features: World Series of Poker (25,000 dollars guaranteed pool), Ladies only poker tournament, and more.
Table slots include the : Canadian Club Salon . This luxurious venue offers opulent surroundings for Blackjack, Roulette, Baccarat, Mini-Baccarat and Pai Gow Poker including a private redemption window. And the High Limit Slots : it includes more than 200 slot machines ranging from $2 to $100 (CAD) per play.
Gaming sports betting is allowed: sports included in Game Picks are American Professional Football, North American Professional Hockey, Pro Baseball, American college football and basketball.
The casino has hotel, dining places, pool, nightlife and shopping places !
So the OLG originally hired Buttcon Energy Inc. to design, build and operate the plant, but Buttcon filed a $355-million lawsuit in September against the OLG, alleging breach of contract, deceit and misrepresentation.
Buttcon has now stopped operation of the plant. The province has hired Angus Consulting Management Ltd. to operate it temporarily.
The government has said it is now searching for a permanent operator, and that contract will be open to competitive bids.
