Globeleq started construction for the 139 MW expansion of its existing Azito gas-fired power plant near Abidjan, Cote d’Ivoire. The final nominal capacity of the plant will be 420 MW, making it one of the largest and the most efficient thermal power plants in Cote d’Ivoire.
Construction should be completed during early 2015. The project was financed on a limited recourse basis with 80 percent of the expansion funding provided by lenders including the International Finance Corp., European development finance institutions led by Proparco and BOAD.
The majority of the equity funds will be contributed by Globeleq, which is solely owned by Actis (the pan-emerging markets private equity firm), with the remaining funds provided by its project partner, IPS (West Africa), a company majority-owned by the Aga Khan Fund for Economic Development. The Multilateral Investment Guarantee Agency (MIGA), a member of the World Bank Group, is providing insurance cover for some aspects of Globeleq’s investment.
Once operational, the additional electricity will be sold to the Cote d’Ivoire, acting through CI Energies, under a 20-year concession. Hyundai Engineering and Construction Co Ltd is the EPC contractor and will design, build and commission the expansion on a turnkey basis. During the peak of construction, over 1,000 jobs will be created, with an emphasis on local resourcing.
Globeleq is an experienced operating power company, actively developing energy solutions for the emerging markets of Africa and the Americas. The company develops economically sustainable projects that support the continued development of the electric power sector in these regions. Globeleq is solely owned by Actis, the pan-emerging markets private equity firm.