The Multilateral Investment Guarantee Agency (MIGA) has issued guarantees to Meridiam for equity investments into Asonha Energie SA, which is responsible for the construction and operation of the 35 MW Kinguélé Aval Hydropower Plant in Gabon.
The project is the first one to be developed by an independent power producer (IPP) in the country. The 20-year guarantees totaling EUR25.3 million (US$27.85 million) provide protection from breach of contract, expropriation, transfer restriction and currency inconvertibility, and war and civil disturbance. The Kinguélé IPP project will bring low-cost clean power generation capacity to support electricity demand in Libreville, avoiding over 90,000 tons of CO2 emissions per year. Once operational, the hydropower plant will supply around 32,000 new customers and create an estimated 880 jobs.
Asonha Energie SA is owned 60% by Meridiam SAS France (Meridiam) through its Meridiam Funds, and 40% by he Fonds Gabonais d’Investissements Stratégiques (FGIS), Gabon’s sovereign wealth fund. The company was created to develop the project by way of a BOT (Build-Operate-Transfer) concession for 30 years.
