Denham Capital Highlights its Three African Power Portfolio Companies
Denham Capital Highlights its Three African Power Portfolio Companies during 2016 U.S.-Africa Business Forum
NEW YORK, Sept. 21, 2016– Denham Capital, a leading energy and resources-focused global private equity firm, shared updates on its three African power portfolio companies with the heads of state and global CEOs gathered in New York City during the U.S.-Africa Business Forum co-hosted by Bloomberg Philanthropies and the U.S. Department of Commerce. Denham Chief Investment Officer Stu Porter was an honored guest at the event.
Denham has been investing in African power since 2008 with a targeted focus on delivering low-cost sustainable power generation. Today, the firm’s African power portfolio, comprised of Endeavor Energy, GreenWish Partners and BioTherm Energy, is working to develop, build and operate more than 3,000 megawatts (MW) of projects across the African continent.
"Our portfolio companies have been and continue to be a part of the evolving African power generation story. They’re delivering low-cost thermal and renewable power projects across Africa and are helping to create jobs, boost economies and reduce energy shortfalls,” said Justin DeAngelis, Denham Managing Director and a Power Deal Team leader. “Of course, these successes only underscore the need for greater investment as well as efforts like Power Africa and the U.S.-Africa Business Forum.”
Endeavor Energy was formed in 2013 and has grown quickly with Denham’s backing and ownership. The company develops large-scale thermal and hydro power projects plus “hybrid, first-of their-kind” integrated LNG projects throughout Africa. It works closely with host governments to address country specific needs then uses best-in-class standards to ensure it is investing in and providing world-class, reliable and low-cost power plants.
Led by Chief Executive Officer Sean Long, who also attended today’s event as an honored guest, Endeavor is currently nearing completion and financing of projects totaling more than 1,500 MW and expects to catalyze over $4 billion of foreign capital investment in power projects over the next five years.
Most recently, Endeavor received Ghana’s parliamentary approval and signed a power purchase agreement for the 400 MW LPG-fueled Bridge Power Project, which will not only help to address short term demand for electricity but also provide a competitively priced fuel solution.
Endeavor is working with the Guinean government to develop the Te’ Power Project, a 50 MW power plant fired by heavy fuel oil, as well as other long-term renewable power solutions for Guinea. Similarly, Endeavor is also working with the government of Côte d’Ivoire to develop the Songon project, a low-cost 372 MW (Phase I) power plant. As part of this effort, the company is working with the government and industry-leading fuel suppliers on an imported fuel solution which will help address the country’s fueling needs until natural gas becomes available. Endeavor expects that the project’s development will accelerate in the coming months, creating new jobs and other developments that will benefit the people of Côte d’Ivoire.
Finally, in conjunction with the U.S. Peace Corp., the company has recently committed to support the First Lady Michelle Obama’s “Let Girls Learn” initiative in Cote d’Ivoire, Ghana, Guinea and other African countries.
A Power Africa partner, Endeavor's projects are making progress throughout West Africa, where the initiative is also working with national governments and local stakeholders to build capacity and the enabling environment to help meet critical demand for new electricity supplies.
GreenWish Partners, Denham’s latest power platform announced in June 2016 following a $250 million commitment, is a renewable power company focused on the African continent seeking to produce 600 MW of renewable energy assets by 2020. Led by Chief Executive Officer Charlotte Aubin-Kalaidjian, the company is currently pursuing projects in various African countries including Senegal and Nigeria.
In Senegal, GreenWish expects to complete the construction of Senergy II, a photovoltaic power plant with a 20 MW capacity, in October. The project will be the first solar power plant to commence production in Western Africa.
In Nigeria, GreenWish seeks to develop a 300 MW pipeline of on-grid solar and off-grid solar-hybrid projects. It has committed to a 50 MW solar project in the State of Kaduna and signed a memorandum of understanding with the Governor of Kaduna to develop an innovative 200 MW solar hybrid energy project. The latter project will eventually supply the innovative 2000ha Agri Green Hub, helping kick start agri processing in the heart of Nigeria. In addition, GreenWish is developing other solar-hybrid energy efficiency projects to address the needs of telecommunications towers, commercial rooftops and other commercial users in the country.
Denham’s first African power platform, BioTherm Energy, was founded in 2003 and has been 100 percent supported by Denham since 2008. The South Africa-based platform is a leading African independent power producer focused on wind and solar projects across the continent. The company currently controls a development portfolio totaling 1,000 MW in Africa.
It brought into operation some of the first wind and solar projects under South Africa’s Renewable Energy Independent Power Program in 2014, which continue to outperform. In 2015, BioTherm secured power purchase agreements for another 284 MW of South African wind and solar projects. It expects to close debt financing for these by the end of October/early November followed by immediate construction.
Additionally, BioTherm has developed a pipeline of wind and solar projects in Egypt, Zambia, Ghana and Burkina Faso totaling 314 MW that it plans to bring into to construction during the next 12-24 months.
Speaking at today’s forum, BioTherm Chief Executive Officer Jasandra Nyker shared the company’s African aspirations, details about its project pipeline and thoughts on how to accelerate power project rollout in Africa. She also discussed how these planned activities will advance BioTherm's commitment to Power Africa's goal by providing access to clean, reliable energy across sub-Saharan Africa.
As a leader in African power investing and member of President Obama’s Power Africa initiative, the Denham Power team is comprised of investment professionals with deep global industry expertise focused on backing the best power development teams in select global geographies like Africa where power can help such regions grow.
“Denham has been an exemplary Power Africa partner, helping us work towards achieving President Obama's vision of doubling access to electricity in sub-Saharan Africa,” said Power Africa Coordinator Andrew M. Herscowitz. “Denham and its portfolio companies are leaders in project development, showing others how to get projects across the finish line by working with local partners and investing significant resources to power homes and industry.”
For more information about Denham’s power portfolio and the firm, visit www.denhamcapital.com.
About Denham Capital
Denham Capital is a leading energy and resources-focused global private equity firm with more than $8.4 billion of invested and committed capital across seven fund vehicles and offices in London, Boston, Houston, and Perth. The firm makes direct investments in the energy and resources sectors, including businesses involving power generation, oil and gas, and mining, across the globe and all stages of the corporate lifecycle. Denham’s investment professionals apply deep operational and industry experience and work in partnership with management teams to achieve long-term investment objectives. For more information about Denham Capital, visit www.denhamcapital.com.
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