18 July 2016
Firm but flexible power: clean and cost effective for benefit to Namibia
By Tilana de Meillon
Namibia currently imports more than 70% of its power from South Africa, Zimbabwe,
Mozambique and Zambia, with key power import contracts in jeopardy and escalating
power problems in the Southern African Power Pool (SAPP). South Africa’s load
shedding seems to have been brought under control for the foreseeable future, but
neighbouring Botswana, Zambia and Angola are continuously plagued by power
shortage problems. Almost the entire Namibia was recently hit by power blackouts as
a result of the reliance on power from South Africa.
The solution for Namibia involves the development of a baseload power plant, like the
Xaris Energy’s 250 MW power plant being developed in Walvis Bay, Erongo, which if
built and managed responsibly, can last up to half a century or more and will assist in
ensuring security of power supply and reduce Namibia’s reliance on electricity imports.
The technology used for the Xaris power plant is based on GE LM6000 aero derivative
technology, with a solid track record and high efficiency, with rapid start and
stopping features, allowing the plant to adjust to the changing needs of the
power system and act as a modular and flexible power source. This will
complement and support any future increased percentage of electricity produced from
renewables, such as solar and wind, which place an escalating level of stress on aging
power systems. The varying output can cause voltage swings in transmission lines,
potentially creating power surges and blackouts, which can be supported by the
combination of this and the Xaris power plant. This new plant will bring power stability
The plant will be fuelled by Natural gas. Natural gas is environmentally the
friendliest fossil fuel on earth and has maintained the best safety record Since 1964.
If spilled, it evaporates and leaves behind no residue, does not get absorbed in water
and do not harm sea life or affect water quality. Natural gas burns clean without leaving
any smell, ash or smoke.
Natural gas infrastructure constructed for the power plant will also benefit the local
community. It is popular because of its economic and instant heating qualities and
versatility and is commercially used, in hotels, restaurants, motels, small
manufacturing units, office buildings, hospitals and schools mainly for cooking and
heating purposes. Natural gas, in compressed form, can be used as a fuel for vehicles,
being a cleaner, cheaper fuel than diesel or gasoline.
The plant will be connected to the Namibian grid that links to the SAPP grid and
therefor any excess energy produced by the plant can be sold to neighbouring
countries. A logistics solution for the distribution of Natural gas can also be established
Some of the secondary benefits of the plant include local employment and job creation,
both during construction and operation phases and local employment and job creation
through spin-off developments such as security, catering, transport, site management
and cleaning services. Skills development and training will support market growth,
education enhancements through bursaries and new facilities, and quality of life
improvement for veterans through medical care and social support.
Progress to date
On 24 October 2014, Xaris was approved to be the Preferred Bidder for the Joint
Development of a 230MW - 250MW power plant.
Following this approval, Xaris commenced development and negotiations with the
various project parties including NamPower in order to finalise the various project
agreements to be submitted to the board of NamPower.
The finalised project agreements were submitted during February 2015.
In March 2015 both NamPower and the Cabinet resolved that the Project must be
Xaris have worked tirelessly in the period since appointment to structure the Project,
including completing the lenders due diligence. As a result, the cost to the consumer
of the power from this Project has been optimised and actually been reduced.
Arandis Power instituted a High Court application to challenge the decision to award
the contract to Xaris Energy to develop a 250MW power plant. Acting Judge, C. Parker
dismissed Arandis Power application to the with costs on Thursday 7 July 2016.
Xaris agrees fully with the High Court’s sentiments expressed through the judgement
that the project is of crucial importance to the country and appealed to NamPower to
perform its duty by doing all that would be required and necessary, to enable Xaris
Energy to execute the project.
Xaris also appreciate the support from the NamPower Board as well as the President
and the Cabinet for the implementation of the Project. Much time has been lost in the
process up to this point and it would be in Namibia, NamPower and Xaris’ best interest
to get the project back on track as soon as possible. This was supported by the Acting
Judge’s comments that 16 months’ delay since the decision to award the tender to
Xaris Energy in March 2015 was unacceptable.
Consequently, to facilitate speedy financial close and project implementation, Xaris is
performing a review analysis to confirm the outstanding matters to achieve financial
The Xaris and NamPower’s respective project teams will meet soon to finalise the
outstanding negotiations and aim to conclude the outstanding items in the Power
Purchase Agreement. The efforts will be to ensure that all related agreements are
finalised in August allowing the financing process to be concluded. Obviously Xaris
will aim to start with early works as soon as possible.
The construction schedule will be reviewed and firmed up, based on the above. Xaris
Energy remains committed to ensuring that Namibia receives power as soon as
practically possible and will ensure that the power plant contributes positively to the
Walvis Bay region and to the entire Namibian economy.
Tilana de Meillon is a registered professional engineer and project manager for
8 July 2016
XARIS ENERGY WELCOMES HIGH COURT DECISION ON POWER PROJECT
Windhoek, Namibia – Xaris Energy and its partners welcome the Namibian High Court’s
ruling to reaffirm the decision by NamPower to award Xaris Energy the tender to construct
Walvis Bay Power Plant, says Boni Paulino, Chairman of Xaris Energy.
Arandis Power instituted a High Court application to challenge the decision to award the
contract to Xaris Energy to develop a 250MW power plant.
Xaris Energy, NamPower, the Minister of Mines and Energy, the Cabinet of Namibia and
the President of Namibia were co-respondents in the application.
The Acting Judge, C. Parker dismissed Arandis Power application with costs.
Paulino says he agrees fully with the High Court’s sentiments expressed through the
judgement that “the project is of crucial importance to the country and appealed to
NamPower to perform its duty by doing all that would be required and necessary, to
enable Xaris Energy to execute the project.”
Paulino says the Acting Judge’s comments summed up the feelings of most stakeholders
in Namibia that “16 months’ delay since the decision to award the tender to Xaris Energy in
March 2015 was unacceptable”.
“Xaris Energy will now actively pursue engagement with NamPower to finalise the Power
Purchase Agreement,” says Hennie Steyn, Managing Director of Xaris Energy.
“We have maintained since the beginning that Xaris Energy put forward a very competitive
bid, technically and commercially. We won the bid fairly and we put together a team of
highly competent global partners with impeccable credentials,” continues Steyn.
The execution and advisory team on the Project comprises a number of regional and
global players such as Garanti Koza, Tuten KSE, GE Power and Water, Excelerate
Energy, EON Consulting, MPR Associates, Webber Wentzel, Engling Stritter, Single
Destination Engineering and PRDW and remain committed to successfully deliver the
project in as short a period as possible.
For more information or to arrange an interview please contact Nicole Walters on
+27 (82) 451 9393 or firstname.lastname@example.org.
9 March 2016
Global industry leaders to prevent looming Namibian energy crisis
By Hennie Steyn.
Namibia currently imports more than 70% of its power from neighbouring Southern African countries. With the dependence on South African electricity import contracts nearing expiry and having an already overburdened national supply, Namibia has identified strategies to increase its local power generation capability to avoid facing a significant electricity crisis. This will include mitigations to increase local power generation in Namibia.
Xaris Energy is finalising the development of a new 250MW gas turbine power plant in Walvis Bay in response to a rigorous NamPower tender process. The Namibian Cabinet endorsed the project in March 2015 and the NamPower board approved its financial investment decision for the Xaris project in April 2015.
The structure of the project includes partners that will contribute to the successful implementation of the Walvis Bay Power Plant. All the partners have been researched thoroughly and have impeccable reputation and outstanding experience.
Natural gas will be procured from Walvis Gas Port (WGP), an incorporated Namibian gas business. WGP will be responsible for securing liquefied natural gas (LNG) from Excelerate Gas Marketing, an established LNG player with over 75 master agreements in place with various LNG suppliers and manufacturers.
The Walvis Bay port has been selected for the Xaris project due to its ideal location for a floating storage facility. The natural gas will be stored on a floating storage and regasification unit (FSRU) that will be permanently moored in the port and extracted for use by the power plant to generate electricity for the Erongo Region and wider Namibia. In addition, there will be the opportunity for other natural gas consumers such as independent power producers, factories, mines and domestic users to utilise natural gas directly for heating, reducing costs as well as environmental releases. USA-based Excelerate Energy is the pioneer and market leader in innovative floating LNG solutions. As the largest provider of FSRUs globally, Excelerate Energy is the leader in FSRU operational projects and will supply and operate the FSRU.
The power plant, located behind Dune 7 in Walvis Bay in the new earmarked heavy industrial zone, will utilise LM 6000 gas turbines sourced from US-based GE. GE is on Fortune’s list of the World’s 10 Most Admired Companies for 2015. The company develops and manufactures products for the generation, transmission, distribution, control and utilisation of electricity. GE is the world leader in aircraft engine technology. Developed from this technology is the LM series of gas turbines, including the LM 6000. More than 3500 LMs have been deployed worldwide and have so far logged more than 100-million operating hours with outstanding reliability and availability. GE was selected based on its experience and the successful implementation of its technology across a vast number of projects.
The responsibility for the plant engineering, construction and integration has been awarded to Garanti Koza, a prominent international construction and development company from Turkey. The company bears a trademark that has been synonymous with reliability and solidity since its foundation in 1948. Garanti Koza has extensive experience in deploying LM and other gas-fired power plants internationally, making it ideally suited for the role.
The plant operations will be managed by KS Energy, which was established in 2008 in Botswana. KS Energy has a long-term relationship with the gas turbine supplier GE and an excellent track record operating the Orapa power plant in Botswana.
Garanti Koza and KS Energy were selected via a rigorous tender process based on past experience and commitment to fixed budget and schedule. Both companies are committed to skills transfer and social development of the local population. This commitment resonates with Xaris’s extensive social development programme, which was key to their selection. Garanti Koza seeks to procure local expertise and labour during the construction as well as skills transfer to local resources in key electricity generation and other technical skills. The company has received interest from local enterprises and individuals and is currently reviewing all candidates for their suitability to the task at hand.
KS Energy aims to support local communities and empower local employees. Its Botswana undertakings only employ four expatriates. Similarly, its approach to Walvis Bay will be to provide skills development and training, thereby adding to the social enhancement of Walvis Bay.
The project will be privately funded. The equity funding will come from Ariya Capital, a Jersey-based investment holding company with a UK FCA authorised investment advisor. Ariya Capital has a successful African investment track record. The company has invested in six sub-Saharan countries, either directly or though its network in Kenya, South Africa, Uganda, Namibia, Botswana and Ghana. The Ariya Capital are senior business leaders with successful careers in private equity, investment banking, corporate finance, business building and asset and risk management. They have deep expertise in traditional and renewable energy markets, project finance, mergers and acquisitions and structured finance. Ariya formed a joint venture with Xaris for this project, bringing international experience and skills to the team. The company has subsequently provided development capital and financial expertise.
Standard Bank has accepted the role as mandated lead arranger for the Walvis Bay Power Plant project to provide the debt financing. The bank has already largely completed its due diligence on the project.
In order to further ensure the overall success of the project, EON Consulting has been appointed as the independent project engineer and technical advisor to Xaris. This role is multi-dimensional and includes the support and management of the project development, management of project risks, integration of project components and management of the schedule, including permits, licensing and approvals. EON has been extensively involved with the project from inception and is committed to its successful implementation.
Webber Wentzel has been appointed as legal advisor for the project.
All partners are committed to the completion of the Walvis Bay Power Plant and have untainted reputations. In addition, our US partners have to comply with the US foreign policy, which strictly prohibits involvement in politics, war-threat countries and improprieties of any nature.
The solution provided by Xaris Energy is unparalleled in its suitability, efficiency and cost-effectiveness and will support Namibia’s vision of energy independence and avoiding the looming electricity crisis.
Hennie Steyn is the Managing Director of Xaris Energy, the lead partner in the construction of the Walvis Bay Power Plant.
24 February 2016
Open Letter to the Editor of The Namibian Newspaper
We have followed media coverage of the new Walvis Bay Power plant in the past few months in this paper with much interest. As you are well aware, Xaris is the lead partner in the development of this power plant from which the Namibian public and economy stand to benefit considerably. It is not Xaris’ place or intention to determine the direction and outcome of your investigation. It is also not our wish or indeed within our influence to dictate what this paper publishes.
We acknowledge and accept that it is the responsibility of any journalist worth their salt to thoroughly investigate any issue in the public’s interest. In view of that consideration, we welcome any questions that your journalists may have with regards to the procurement process as well as the implementation of the project to ensure that everything is above board. In that regard, we have cooperated with your journalists and answered to the best of our ability any questions they posed to us. However, we could not help but notice the one-sided nature of the reports coming from this publication.
It would be refreshing to see articles that address issues such as:
· How will this project benefit Namibians, short and long term?
· What are the attributes that made the winning bidder’s model, financial and technical, more compelling or even the reverse, a compelling case on why the Xaris model is not suitable?
· What made the Xaris bid stand out?
· Which aspect of the Xaris bid is the media unhappy with, and how different is the situation on that particular aspect with respect to the other bidders?
We are concerned that the media reports, particularly from this paper, seem hell bent on finding fault with this project. There does not seem to be any interest in finding out about the technical and financial aspects of the other bidders, which could have made them less preferable. We put forward a very competitive bid, technically and commercially. We won the bid fairly and we put together a team of highly competent global partners with impeccable credentials.
Our intentions are honourable and we would like to improve power generation capacity for the Namibian economy.
As I explained, there is also no desire to stand in the way of good investigative journalism, but good journalism is characterized by thorough and balanced investigation, reflection on the facts before putting pen to paper in order present stories that reflect both sides of the issue. What we are witnessing is an all out campaign to discredit our bid, our partners and our integrity without a sound basis and this we find rather disingenuous. We are hopeful that we may still see coverage of the project in future which shows the media tested the veracity of statements and “leaks” from interest groups and allow for a fair and balanced review of the events as they unfold before you.
Hennie Steyn, Managing Director
19 February 2016
Xaris smear campaign will hurt Namibian economy
By Hennie Steyn.
The supply of power to the Namibian economy is one of the government’s key priorities in creating a platform for sustainable economic growth. Part of the process of addressing this need is the construction of a gas power plant in Walvis Bay, which will add 250MW to the national grid. Energy infrastructure construction company Xaris Holdings was awarded the contract in 2014 to develop the power plant.
The project has huge benefits for economic growth, job creation and environmental protection. Sadly, however, it is being derailed by self-interested third parties with destructive agendas who seem to be bent on shutting it down, regardless of the consequences to the people of Namibia. These parties seem prepared to sacrifice the interests and well being of the Namibian people and its economy in general.
There are several points that Xaris would like to raise in light of the on-going smear campaign around the Walvis Bay Power Plant:
• Xaris is and has always been a company that conducts its affairs in an equitable and ethical manner. The entire procurement process was above board, transparent and subject to intense scrutiny. Suggestions to the contrary are unfounded and lack any basis in fact.
• Xaris has both the capacity and competence to complete a project of this scale. Xaris won the tender because it submitted a proposal that met technical and commercial criteria. Crucially, the Xaris bid was also commercially superior, promising significant cost savings, superior performance and reduced environmental impact.
• The project is being undertaken in partnership with a number of reputable global companies. Partners had to satisfy themselves that the Xaris proposal was both bankable and compelling before coming on board.
• The idea that our partners would enter into a corrupt deal is ludicrous. A number of Xaris’ partners, namely General Electric and Excellerate, are public companies in the US and subject to the legislation of that country. These companies would face prosecution if they became involved in corrupt activities, regardless of where in the world these activities took place. The damage to them would be both financial and reputational.
• The conversation needs to shift back to the construction of the plant and the benefits it will bring to the Namibia people and economy. Xaris is disappointed that the national and international dialogue has moved away from the bigger picture. We should be talking about Namibia’s increasingly urgent need for additional power generation capacity, rather than defending unsubstantiated rumours. The media are being fed – and publishing – groundless slurs, making them unwitting supporters of the project’s antagonists and adding fuel to the already raging fire. This has already caused major delays in construction, which will ultimately have negative consequences for the government’s energy provision plans.
• Xaris is 100% committed to the completion of the Walvis Bay Power Plant. We are not prepared to enter into public debate around the unwarranted accusations that are being levelled against us, other than to reiterate our commitment to upholding the highest ethical standards and acting in the best interests of the Namibian people.
Hennie Steyn is the Chairman of Xaris Holdings, the international infrastructure development firm with offices in Namibia, Mauritius, South Africa and Australia.
14 January 2016
Negotiations for Walvis Bay Power Plant Project Going Full Steam Ahead
The Walvis Bay Power Plant Project (Project), located in Namibia, to develop a gas-fired power plant is ready to continue as originally envisaged, says Hennie Steyn, Managing Director of Xaris.
Following the national address by President Hage Geingob referring to private projects, the Honourable Obeth Kandjoze, Minister of Mines and Energy issued a statement in support of the Project on 22 December 2015. “Xaris is pleased to announce that the company is ready to resume engagement with NamPower in order to proceed with the implementation of the Walvis Bay Power Plant Project,” says Steyn.
“With a bankable Power Purchase Agreement, this Project will be entirely privately funded and will provide power economically to Namibia to address the growing energy deficit – driven by Namibia’s current and projected high economic growth rates,” says Steyn.
The Power Purchase Agreement (PPA) between NamPower and Xaris is a contract where NamPower will buy power on agreed terms from the Walvis Bay Power Plant.
Steyn says the Project will support and drive the continued prosperity of the people of Namibia by acting as a catalyst for positive social and economic change in the Walvis Bay region and the country as a whole.
On completion of negotiations with NamPower, the Project will include the construction of a power generation plant as well as the infrastructure to import liquefied natural gas into Namibia. Steyn says the Project will bring together world-class firms and leading power generation technology to the region to provide clean electricity supply at competitive rates. This will enable Namibia to take advantage of the current abundance of gas supply in the global market.
“We have worked tirelessly in the period since our appointment to structure the Project, which structure together with NamPower’s investment grade status, increases the Project’s cost effectiveness while remaining attractive to equity and debt funders,” says Herta von Stiegel, Executive Chair of Ariya Capital. “As a result, the cost to the consumer of the power from this Project has actually been reduced,” says von Stiegel.
“While awaiting a signed PPA, we have progressed the development of the Project as far as possible towards financial close. We have largely completed the due diligence, GE has manufactured gas turbines for the Project and Excelerate Energy remains committed as our FSRU provider with its proven and innovative capabilities and supply solutions,” continues Steyn.
To date, Xaris and its partners have invested in excess of US$30-million into the Project.
The next steps for the Project will include finalising the terms and conditions for the PPA for approval by the relevant authorities, consolidating the regulatory approvals and completing the transactions necessary to bring about a speedy financial close.
“We are committed to expedite the early delivery of initial power to meet Namibia’s imminent power shortfall and to that end, we recommend using a phased approach,” says Selahattin Hakman, a member of the board of Garanti Koza, the contractor on the Project. “This will enable us to bring power online quicker. Initial power generation could be achieved as quickly as 6 months from financial close.”
The execution and advisory team on the Project comprises a number of regional and global players such as Ariya Capital Group, Garanti Koza, Tuten KSE, GE Power and Water, Excelerate Energy, EON Consulting, MPR Associates, Webber Wentzel, Single Destination Engineering and PRDW.
Each of these entities has decades of experience in their respective fields and are bringing a complementary set of skills and resources to ensure that the Project is brought to operation as quickly as possible.
For more information or to arrange an interview please contact Nicole Walters on +27 (82) 451 9393 or email@example.com.
For immediate release
26 August 2015
Extend Operation Phakisa’s focus to include offshore gas exploration
Xaris Energy welcomes South Africa’s commitment to explore alternative methods of power generation to include gas-fired power stations and renewable energy sources for South Africa’s future energy generation mix, says Xaris Managing Director Hennie Steyn.
Xaris Energy is a power generation infrastructure management firm, now part of Ariya Energy with offices in South Africa, Kenya, , Namibia, Mauritius, UK and Australia.
Steyn says the African continent is blessed with large deposits of natural gas and it would be economically and environmentally near-sighted to continue the overwhelming reliance on coal as the main source of energy for electricity generation.
In the past five years, about 30 percent of the world’s new oil and gas discoveries were made in Africa.
Renewal energy sources are also increasing in importance, though currently they still lack critical mass and in some instances can be economically prohibitive.
According to the International Energy Agency (IEA)’s Africa Energy Outlook report, by 2040 almost half the growth in electricity generation is expected to come from renewable energy.
Steyn says local and international geologists believe that there are many areas in South Africa, both onshore and offshore that are worthy of exploration for gas reserves.
Steyn says the government should ensure that Operation Phakisa, a government initiative “to unlock the Oceans economy”, which the government estimates has potential to add R170 billion to the country’s gross domestic product (GDP) by 2033 should place considerable emphasis on offshore gas exploration as well.
At present the “Oceans economy” contributes about R54 billion to GDP, according to an SA government report.
“Our current reliance on coal-fired energy generation will turn electricity into a privilege for the few rather than a resource that should be accessible to all, and the South African economy will be rendered uncompetitive in a few years’ time,” says Steyn.
“This rate of increase in electricity cost is simply unsustainable and we run a serious risk of shutting down our manufacturing among many other economic sectors,” says Steyn.
It is up to the government to fast track the partnership with independent power generators to bring more power into the grid and gas offers the best and most economical as well as environmentally friendly options, from a quick route to market and financing perspective,” concludes Steyn.
For more information or to arrange an interview, please contact Nicole Walters on 011 888 8786/ 082 451 9393 or email firstname.lastname@example.org
For immediate release
18 June 2015
Xaris/Ariya joint venture set to expedite clean energy delivery in sub-Saharan Africa
Xaris Holdings, a power developer company incorporated in Mauritius, and Ariya Capital Group, have announced they will be forming a joint venture to develop environmentally friendly, renewable power projects in sub-Saharan Africa. The announcement follows a thorough due diligence process by both companies.
The combined entity will be known as Ariya Energy Ltd and will continue to focus on the development of Namibia’s Walvis Bay gas-fired power plant. Other key projects are earmarked for imminent development throughout sub-Saharan Africa.
Ariya Capital Group’s executive chair, Dr. Herta von Stiegel, says she is excited about the tie-up with Xaris Holdings. “We are looking forward to a partnership that will accelerate the delivery of clean and renewable energy on the African continent and respond to the growing need for reliable clean energy in order to fast-track the economic development of the region,” she says.
Xaris Holdings chairman Hennie Steyn says the Ariya Energy team will comprise world-class project developers, engineers and financiers with proven track records who will be in a position to contribute to the transfer of skills. “Ariya Energy has a strong commitment and focus on skills delivery and capacity building everywhere it operates,” he says.
Steyn and von Stiegel believe the merger is a natural fit for both entities.
“Ariya Capital and Xaris Holdings bring complimentary skills, expertise and resources to the partnership,” Steyn says. “Our new partners are currently developing and acquiring a number of carefully selected power assets across sub-Saharan Africa in the areas of gas, wind and solar.”
Steyn says the new entity will have sufficient resources to take on large-scale projects in the sector. “Ariya Energy will have a combination of self-funded and international sources of capital that will allow it to fund itself through the development phase, as well as financing its own equity in the projects it develops and acquires.
“This blend of capabilities will allow the new entity to fast-track the project development process and to move quickly when acquiring assets.”
He says bringing projects to market rapidly and efficiently is critical for Ariya Energy to meet its goal of delivering power to the markets in sub-Saharan Africa.
“This will help to reduce the power deficits that are negatively impacting so many economies in the region,” he says.
Steyn says projects will be carefully selected to maximise energy efficiency while supporting environmentally friendly charters that will leave positive legacies in the countries where it will operate.
Notes to the Editor
Xaris Holdings Mauritius is a subsidiary of Xaris Holdings Australia.
For immediate release
18 June 2015
Walvis Bay Energy Project Above Board
The energy project under way in Walvis Bay to generate 250 Megawatts of power, primarily for the Namibian market, is completely above board, says Hennie
Steyn, managing director of the project developer firm, Xaris Energy.
“We have deemed it necessary to reiterate the ethical and legal standing of this project as reports continue to surface in the press that may mislead the
public and other interested and affected stakeholders,” says Steyn.
Steyn says the Walvis Bay energy generation project, from conception to beginning of execution, has been conducted with the highest level of transparency
“We have nothing to hide,” says Steyn.
Furthermore, in the interest of transparency, the team has launched a digital platform accessible to all interested parties that details the project path,
including the project history, rationale, funding arrangements, project partners as well as the Namibian government’s financial exposure.
This portal is accessible via the following link: http://www.walvisbaypowerplant.com/
“We are disappointed to learn that cabinet officials have been named in media reports as the people behind comments that are devoid of truth and utterly
unsubstantiated,” says Steyn.
Steyn says Namibia’s energy utility NamPower, a potential equity partner in the project, has signed off on the project and is satisfied that the process –
including the appointment of Xaris Energy through a highly publicised tender – was above board and completely beyond reproach.
Steyn says he is saddened to learn of the existence of parties who would like to see the Walvis Bay energy project derailed for the apparent purpose of
furthering alternative agendas.
“These individuals have regrettably placed their interests ahead of the interests of the Namibian economy and its people,” adds Steyn.
“The campaign to discredit the Walvis Bay energy project is both short-sighted and without merit,” concludes Steyn.
For more information or to arrange an interview, please contact Nicole Walters on 011 888 8786/ 082 451 9393 or email email@example.com
For immediate release
19 May 2015
Namibian Power Plant Development on Track
The new Namibian energy power plant under construction, which is scheduled to come online by July 2016, is on track to meet deadlines, says Xaris Managing director Hennie Steyn.
Xaris, the energy infrastructure development group with offices in Australia, Namibia and South Africa, was appointed by state utility company Namibian Power (NamPower) following a widely publicised tender process for the joint development of a 250-megawatt power plant.
Xaris was officially appointed as the preferred bidder in October 2014. In March 2015 the Namibian Cabinet approved the Walvis Bay Power Plant project and subsequently, during a special NamPower Board meeting in March 2015 a Final Investment Decision (FID) was taken that the Tender must be awarded to Xaris.
“The project is well under way. All the major hurdles, including environmental impact assessments, have been undertaken with full participation by the majority of all affected stakeholders,” says Steyn. “We are confident that the due diligence by lender advisors will be completed before the end of June 2015.”
Steyn says Xaris is in the process of concluding the remaining agreements with other parties, including the Municipality of Walvis Bay and other stakeholders.
“It is our firm intention to address all concerns by industry and citizens in general. Ensuring transparency and accommodating the interests of all stakeholders is our number one priority.”
Steyn is confident that all elements of the project are running smoothly and that budgetary targets are being met. “Our funders, including international banks, conduct regular audits and are satisfied that the project is running on budget,” he says.
The power plant is a joint project between NamPower and a group of international and local equity partners who have come on board to limit the financial exposure of NamPower and ultimately the Namibian government. Therefore no Government guarantees will be required for this project.
Steyn says the plant will bring a host of benefits to Namibia economically and socially, including new jobs, and contribute to a cleaner environment.
“The power plant project will create significant short-term and long-term job opportunities in the Namibian economy,” he says. “The gas-fired plant will also be a major milestone in the development of cleaner energy in the sub-Saharan region, as gas is by far the most environmentally friendly fossil fuel available.”