KINGUELE AVAL HYDRO

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 The Kinguélé Aval hydroelectric power plant (the “Project”) is a proposed run-of-river 34.5 MW hydropower project which will have an average annual power production of 200 GWh.  It will be located on the River Mbé, in the northwest of Gabon, about 90 km east of Libreville. The Project will utilize the steep gradient of the Kinguélé Falls, which comprise about 20 rapids of 1-5 m height to provide the hydro-energy potential.  The concrete dam will be 48 m in height with a crest length of 470 m.  The reservoir capacity will be 4.2 Mm3, with a surface area at maximum water level of 267 ha, and the length of the lake will be about 7km. Since the project is located downstream of the two existing hydropower schemes it will only require the construction of a 300-m powerline to connect to the existing 225 kV TL, less than 1-km of new access roads, and realignment 1.4 km of the existing access road to route it around the new reservoir upstream of the dam.  Construction materials for the Project will be provided from nearby existing quarries and no new borrow pits for the construction are envisaged. The construction of the Project is forecast to take 40-45 months.  The number of workers required will vary during construction but the peak number of workers is expected to be between 450 and 700.  The staff levels during operation are not yet known but expected to be much lower than during construction.Gabon’s energy sector has a dependence on fuel imports for thermal power plants, and the potential for hydropower has been under-exploited.  There is an urgent need to upgrade power generation to meet the growing demand, avoid more frequent power cuts, and enhance energy security.  The proposed Project will increase the installed power generation in Gabon, respond to the growing energy demand in the country, and decrease the share of electricity generated from hydrocarbons, in line with the Government of Gabon's Emerging Gabon Strategic Plan.  Construction is scheduled to start in Q4 of 2020, with commissioning planned for 2024.The developer, Asonha Energie, is a special purpose vehicle (SPV) created for the development of the Project and incorporated under the laws of Gabon.  The SPV is owned by a consortium of Meridiam SAS (60%) and the Gabon Power Company (40%).  Meridiam is an independent international company based in Paris, France, which specializes in investment in infrastructure projects.  The Gabon Power Company is owned by the Gabonese Fund for Strategic Investments (FGIS), a sovereign fund set up in 2012 to invest in projects that would diversify from the oil and gas sector.  The power generated by the Project will be purchased by the Republic of Gabon through a Power Purchase Agreement (PPA).