KINGUELE AVAL HYDRO

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 The proposed IFC financing will support the 34MW run-of-the-river Kinguélé Aval hydro power project located on the river Mbei, 85km East of Libreville in Gabon. The Project will be implemented by Asonha Energie, a company 60% owned by Meridiam and 40% by the Gabonese Strategic Investment Fund (“FGIS”) - acting through its subsidiary, the Gabon Power Company (“GPC”).  The Project will sell its entire output to the Government of Gabon (“GoG”) under a 30-year Power Purchase Agreement (“PPA”).  The Project will help optimize Gabon’s hydro potential, displace expensive emergency or thermal power, provide low-cost energy and help meet the country’s demand. The Project will reinforce the existing hydropower cascade on the Mbei river comprised of two existing power plants (Kinguélé and Tchimbélé) for a combined capacity of 120MW. Total estimated project costs are c.€176 million and IFC will propose an A Loan of up to €40 million, a senior concessional loan from IFC as implementing entity of the Canada-IFC Renewable Energy Program for Africa of up to $25 million and risk management products such as interest rate and/or cross currency swaps.