SolarReserve Lesedi Solar Plant

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Lesedi Power Company was created to build, own and operate a 75 MW solar PV facility to be located in Humansrus, South Africa. The project company was the fruit of a joint venture between the US-based solar developer SolarReserve, and the South African companies the Kensani Group and Intikon Energy. Oakleaf Investments was also reported as participating in the consortium. 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. The tender was open to all technologies, 53 bids were submitted 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). The PPA would be for 20 years with the South African state utility Eskom. Total project cost was estimated at USD 300 million, with comissioning expected for 2014. In November 2012 the project reached financial close. Final total project cost was USD 294 million, with 210 million in debt financing. Debt tenors averaged 19 years and were priced at between 200-300 bps over JIBAR. The sponsors of the project injected USD 74 million, with 12 million in subordinated debt. Rand Merchant Bank, Old Mutual Asset Managers and the Development Bank of South Africa provided the senior and subordinated debt tranches. http://www.pv-tech.org/news/consortiums_150mw_projects_awarded_preferred_bidder_status_by_south_african