Elementum Debt

pending

The proposed investment is a corporate facility of up to EUR 250 million to Elementum Energy Limited (Elementum, or the company), the second largest renewable energy producer in Ukraine. Proceeds will be used for the development, construction and operation of the following subprojects in Ukraine (together referred to as the Project): • the Danube Wind Power Plant (Danube WPP), comprising three greenfield wind power plants (WPPs), each with three wind turbine generators (WTGs), all located in southern Ukraine; and• the Ternopil (also referred to as Windpark West-R) WPP, comprising 32 WTGs and a dedicated substation located in western Ukraine. In addition, viability gap funding may be provided for a pilot battery energy storage system (BESS), located at one of the company’s existing facilities in southern Ukraine.Each of the three Danube WPP subprojects is being implemented by separate, 100% Elementum owned, special purpose vehicles (SPVs), which will together have a combined installed capacity of 57.6 MW. Ternopil WPP is at an earlier stage of development than Danube WPP but will be similarly delivered through a dedicated SPV, Windpark West-R LLC. Both Danube and Ternopil WPPs will use horizontal three blade WTGs (in 6.4 MW power mode) with a hub height of 125m and a rotor diameter of 162m, connected by newly built access roads, along which underground cabling will be routed, and link to the local public road networks. All the land required for both projects is currently used for agricultural purposes and is being secured for 49 years via a combination of voluntary lease and easement agreements concluded with private and public landowners. No physical displacement is required for either project. Residential receptors are located at sufficient distances from the proposed WTGs to comply with applicable national requirements and IFC/WBG EHS Guidelines.Construction timelines are aligned with the project development schedule, and a 25-year operational period has been estimated for both projects. The pilot BESS will have a capacity of 10 MW/20 MWh, with equipment comprising lithium iron phosphate storage cells assembled in five 20-ft containers, each with a capacity of 4.5 MWh situated within an existing company facility. It will be installed in the second quarter of 2026 and will operate for an estimated 15-20 years. Elementum (https://www.elementumenergy.com/) is the second largest private renewable energy producer in Ukraine and is fully owned by VR Global Partners, L.P., an international asset manager specializing in distressed and special situations in emerging markets, with a longstanding presence in Ukraine. Elementum operates 28 solar plants with a total installed capacity of 536 MWp and one wind power plant with a capacity of 100 MW.