Kibo Energy eyes potential acquisition of UK renewables portfolio
Ireland-headed Kibo Energy PLC (Kibo), a multi-asset, Africa and UK-focused energy company has announced that it has commenced an "extensive" due diligence process in relation to the potential acquisition of all or part of a prospective portfolio of UK renewable energy projects.
According to a statement, Kibo has engaged with a specialist company to conduct the required due diligence and feasibility assessments on the various projects. This also includes the provisional procurement of suitable funding instruments to fund the construction and commissioning of any sites that may be selected for acquisition from within the portfolio.
The opportunity consists of several attractive standalone renewable energy projects in the UK, focusing on the generation and/or storage of electric power from renewable generation sources.
The portfolio consists of several waste-to-energy (WtE) projects in which Kibo has negotiated exclusivity and a first right to acquire, subject to successful due diligence results and an agreement on commercial terms and conditions.
Any successful acquisition(s) from the project portfolio will enhance Kibo’s strategy, which is focused on transforming and integrating conventional energy generation into sustainable renewable energy, and in the process support the UK’s Renewable Energy Strategy.
Private offtake markets
The potential renewable energy projects are focused on the bespoke private offtake market. These projects are completely unrelated to and commercially and technically different from the reserve power projects that are being developed in Mast Energy Developments PLC (MED) in which Kibo holds a 55 percent interest.
MED is a specialist reserve/peaking power company and the stand-alone renewable energy projects referenced here fall within an altogether different sector of the general energy market and are not in any form or manner in competition with the MED business.
This opportunity is in line with our strategic intent to deliberately and actively transition from fossil fuel-based energy solutions to sustainable renewable energy solutions. It also has the potential to significantly advance and accelerate the development of the Company’s renewable energy project portfolio in the UK and, subject to positive outcomes from ongoing due diligence and feasibility assessments, provide the Company with a further source of short-term revenue. We look forward to updating the market in due course on this potentially new and exciting chapter in the Kibo business, said Louis Coetzee, CEO of Kibo Energy.
Kibo is also simultaneously developing three similar coal-fired power projects in Sub-Saharan Africa to address the acute power deficit, which is one of the primary impediments to economic development.
These are the Mbeya Coal to Power Project (MCPP) in Tanzania; the Mabesekwa Coal Independent Power Project (MCIPP) in Botswana; and the Benga Independent Power Project (BIPP) in Mozambique.