LUANDA, Angola, July 7, 2016 /PRNewswire/ --
The Ministry of Energy and Water of the Republic of Angola has signed a memorandum of understanding ("MOU") with Privinvest, the Middle East headquartered industrial group, to introduce hydrokinetic power generation over the next decade.
As a result of the presidential order of June 3rd 2016, the MOU was signed within the context of the Republic of Angola's 2025 Energy Security Plan, under which the Republic of Angola has stated its aim to achieve 9,000 Megawatts of production by 2025, with particular priorities for hydrokinetic power generation.
Privinvest, having entered this industry in 2012, is a leader in hydrokinetic power generation. Its affiliates, CMN and Hydroquest design and manufacture special turbines for use in both rivers and the sea.
Under the terms of the MOU, Empresa Publica de Producao de Electricidade ("Prodel") and Privinvest have committed to the creation of a joint venture company in Angola. It will be initially charged with the manufacture and operation of hydrokinetic farms in Angola. The workload will be split between Angola and France.
Prodel has agreed to purchase all the electrical output of the venture in Angola. Operations are expected to commence with the commissioning of 3 test sites, which will have a combined anticipated production output of at least 12 Megawatts. The first site is expected to be online in 2017.
Palomar Capital Advisers, affiliated to Privinvest, is mandated by the Government of Angola to structure the project financing. This financing will be guaranteed by the Republic of Angola.
Commenting on this new venture His Excellency Joao Baptista Borges, Minister of Energy & Water, said:
"Angola is one of the world's greatest untapped potential sources of hydro power. Its abundant waterways will allow, with the introduction of accessible technologies, the development of low cost energy for the rural and remote areas of this vast country.
This agreement with Privinvest for the construction of hydrokinetic turbines and the establishment of hydro-energy fields, conforms with the Angolan Government's strategy to provide access to energy to more than 14 million people by the year 2025.
We place immense trust in this agreement as well as the capacity and experience of our partners to transform Angola into a global leader in the promotion of clean and affordable energy solutions."
Commenting on this new venture, Chairman of CMN, Pierre Balmer, said:
"We are delighted that CMN's proven manufacturing expertise will be leading on this exciting project. It is a technology that has the potential to revolutionise the energy supply market for Africa and beyond."
Mr Jean-Francois Simon, Chairman of Hydroquest, added:
"The world is crying out for clean energy and with this project the Republic of Angola and Privinvest will be using this ground breaking technology."
Mr Andrew Pearse, Chairman of Palomar Capital Advisors, commented:
"Palomar is pleased that it has been able to bring our proven expertise in structuring complex and innovative financing solutions to this exciting project in West Africa."
Privinvest, headquartered in the Middle East, has facilities and shipyards in a number of countries including France, Germany and the Middle East.
Its core areas of activities are the design and construction of naval and commercial vessels, the supply of integrated systems, support programs for naval fleets, the support and transfer of technology to countries wishing to develop their shipbuilding industry. Ancillary to its shipbuilding activities Privinvest is increasingly involved in the hydrokinetic and turbine industry.
Privinvest's shipyards have delivered more than 2,000 vessels and its products are present in more than 40 navies around the world. Currently, besides a number of private customers, the Privinvest group is working for 6 major navies. Privinvest's shipbuilding entities have consistently enjoyed export success and a strong order book from the group's customers worldwide.
CMN (Constructions Mécaniques de Normandie) is a naval construction company specializing in military and civil ships. The workforce comprises 350 highly qualified staff, enabling the conception and realization of naval craft, metal works and complex parts. CMN has been involved in the hydrokinetic industry since 2012
Hydroquest was created in 2010 and is based in the birthplace for the worldwide hydroelectric industry near Grenoble in the heart of the French Alps. Hydroquest has developed a range of new generation machines producing electricity from river currents, estuaries and the ocean. Hydroquest has installed several successful river units in Grenoble and Orleans in France and in Guyana.