Old Mutual Hopefield Wind Farm

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In December 2011, Umoya Energy - a local renewable energy developer - was awarded the rights to develop a 65.4 MW wind farm to be located in Hopefield, South Africa. The project company was: Umoya Energy (Pty) Ltd., African Infrastructure Investment Fund (AIIF), Kagiso Infrastructure Empowerment Fund (KIEF), the Infrastructural, Developmental and Environmental Assets Managed Fund (IDEAS), and Tomlo Commodities (Pty) Ltd. held equity in the project company. AIIF was a 50/50 joint venture between Macquarie Africa (subsidiary of Macquarie Group) and Old Mutual Investment Group South Africa. Old Mutual was also shareholder in KIEF, Tomlo commodities, and IDEAS (not reported separately). The project was awarded in a tender administered by the Department of Energy where a critical factor in the decision was the projected price of power. Contractual negotiations on the PPA and financing were to be completed by June 2012. Under the tender, 56 bids were received of which 28 made it to preferred bidder status. These 28 project account for a total of 1,416MW if all are implemented. The EIA was passed (as was required for all bidders). Vestas was to be the equipment supplier. Commissioning was expected for 2014. Total project cost was estimated as ZAR 1.6 Billion (USD 200 million). In November 2012 the project reached financial close. At closing, the principal project sponsors were Macquarie and Old Mutual, with 38.5% stakes each. The reported total project cost was USD 173 million, with 120 in the form of debt financing and 73 in equity, for a debt/equity ratio of 70:30. http://www.windpowerintelligence.com/article/PelxiJPEgE2/2011/12/13/south_africa_south_african_govt_approves_65mw_hopefield_wind/ http://www.businesslive.co.za/Feeds/inet/2011/03/16/sa-s-wind-energy-potential-estimated-at-20000mw http://www.oldmutual.co.za/corporate/asset-management/om-investment-group-(sa)/boutiques-and-units/alternative-investments/infrastructure.aspx http://en.wikipedia.org/wiki/Macquarie_Group http://www.windpowerintelligence.com/article/PelxiJPEgE2/2011/12/13/south_africa_south_african_govt_approves_65mw_hopefield_wind/