LMI Holdings Ltd

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 LMI Holdings Ltd (“LMI”) is the primary developer of the 800-acre Tema Free Zones Enclave (“Tema FZ”) which is ~70% full and hosts 133 industrial companies. LMI is currently developing Dawa Industrial Zone (“Dawa IZ”), located 45km from Tema. Once completed, Dawa IZ will cover 2,000 acres and host more than 500 companies. IFC proposes a loan of US$[24-26]m to LMI (through Enclave Power Company (“EPCL”), an LMI subsidiary) to be used for the development of (i) a 16.8 MWp rooftop solar power generation facility at Tema FZ at a cost of US$ 11.1m by Helios Solar Company (“HSC”); and (ii) phase I of the water distribution and treatment plant with an initial capacity of 4,000 m3/day of treated water at Dawa IZ at a cost of US$ 13.1 million, by Southern Water Company Ltd (“SWC”), both hereinafter referred to as “the Project”. SWC, HSC, and EPCL are housed under Southern Utilities, which is the umbrella LMI entity operationally overseeing the utilities arm of the Group’s business.EPCL is a private power distribution company in Ghana. It owns and operates two large electricity substations in Tema FZ and Dawa IZ, respectively, and the distribution systems connected to them. EPCL will be the primary borrower for this Project. The proceeds of this investment will go to two LMI subsidiaries, Helios Solar Company Limited (HSC) for the solar component and Southern Water Company Limited (SWC) for the water supply component. HSC will build and operate the roof-top solar power generation plant on the roof of a Mega Warehouse in Tema FZ, which has been leased. The roof-top solar will generate clean electricity and replace part of the power that LMI purchases in bulk to sell to tenants in the Tema FZ. The solar power plant will comprise panels of monocrystalline PV modules covering an area of 92,000m2. A newly installed 100m long transmission line located within the road reserves in Tema FZ will evacuate electricity to the existing Tema IZ Sub-Station operated by EPCL.The water supply project for Dawa IZ will be developed by SWC through an engineering, procurement, and construction contract. The water intake will be located on a vacant 2-acre plot to be acquired from the traditional authority. Majority (about 90%) of the 16.5 km long raw water pipeline will be laid on existing road reserves while about 1.2km of wayleave will be leased. A water treatment plant with a production capacity of 4000m3/day will be located on 50 acres of leased land within Dawa IZ while the 6km long treated water pipeline will also be located within road reserves in Dawa IZ. Enclave Power Company will provide power to the project through branching of power transmission lines that run close to the water intake point and the Dawa IZ.