Mainstream Renewable Power Closes Financing for Three South African Wind Projects

Wind and solar project developer Mainstream Renewable Power has closed financing for three wind farms in South Africa with a combined capacity of 360 megawatts.

The projects include two 140-MW wind farms located in the district municipality of Namakwa in the Northern Cape and a 80-MW plant located in the local municipality of Umsobomvu in the Northern Cape. The debt for the projects has been arranged and underwritten by Barclays and the Development Bank of Southern Africa.

A consortium of Murray & Roberts and Conco has been appointed as construction contractor and Siemens Wind will supply and install the wind turbines.  Mainstram’s joint venture partners for the projects include Actis, Thebe Investment Corp., the IDEAS Managed Fund, Futuregrowth Asset Management and Genesis Eco-Energy in partnership with Lereko Metier Sustainable Capital, and local community members through established trusts.

In October 2013, the consortium led by Mainstream was awarded the contracts for the three wind farms by the Department of Energy in South Africa under the third round of its Renewable Energy Procurement Programme. The wind farms will cost ZAR 9 billion (US$767 million) in total, with construction expected to begin this month.

In 2011, a Mainstream consortium was also awarded 238 megawatts of wind and solar projects in the first round of the South African Government’s Renewable Energy Procurement Programme and all three projects are now in commercial operation.

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