R/€ = 15.02Change: 0.00
R/$ = 14.14Change: 0.01
Au 1074.12 $/ozChange: 2.07
Pt 853.00 $/ozChange: 7.50
Note: Search is limited to the most recent 250 articles. Set date range to access earlier articles.
Where? With... When?

And must exclude these words...
Close Main Search
Close Main Login
My Profile News Alerts Newsletters Logout Close Main Profile
Agriculture   Automotive   Chemicals   Competition Policy   Construction   Defence   Economy   Electricity   Energy   Environment   ICT   Metals   Mining   Science and Technology   Services   Trade   Transport & Logistics   Water  
What's On Press Office Tenders Suppliers Directory Research Jobs Announcements Letters About Us
RSS Feed
Article   Comments   Other News   Research   Magazine  
Jun 06, 2012

Shanduka moves to build regional energy portfolio

Construction|Engineering|Gaza|ADC Projects|Africa|Aggreko|Building|Engines|Eskom|Gas|General Electric|Industrial|PROJECT|Projects|Renewable Energy|Renewable-Energy|Resources|Sasol|Shanduka|Solar|Standard Bank|Technology|Water|Africa|Mozambique|South Africa|United Kingdom|Cape Peninsular University Of Technology|Beverage|Electricity|Electricity Development|Energy|Energy Sectors|Financial Services|Food|Power Generation|Power-generation|Services|Supply Electricity|Temporary Gas-fired Power Plant|Wind Energy|Wind Energy Project|Cyril Ramaphosa|Electricidade De Mo|Infrastructure|Power|Victoria West
Construction|Engineering||Africa|Building|Engines|Eskom|Gas|General Electric|Industrial|PROJECT|Projects|Renewable Energy|Renewable-Energy|Resources|Solar|Technology|Water|Africa|||Energy|Power Generation|Power-generation|Services|Wind Energy||Infrastructure|Power|
© Reuse this

Black economic-empowerment investment holding company Shanduka is pursuing several power generation partnerships in South and Southern Africa in a bid to build its “nascent” energy unit, which is already involved in renewable and conventional power projects in the region.

The group, which has Cyril Ramaphosa as its chairperson and is led by CE Phuti Mahanyele, has 27 investments across the resources, financial services, food and beverage, industrial and energy sectors. Its current portfolio includes investment in companies such as McDonald’s South Africa, Mondi Shanduka Newsprint, Scaw Metals and Standard Bank and Mahanyele says its enterprise value is currently R13-billion.

Energy and infrastructure MD Nandkishor Moharir tells Engineering News Online that unlike the food and beverages milieu, where Shanduka aims to own and control the assets in which it invests, Shanduka Energy is at a far earlier stage of development.

“So we are looking at taking minority positions in projects and building up a competency in this area over time. But we hope that, over a period of five years, we will be able to exercise significant influence,” Moharir explains, adding that no capacity target has yet been established.

The company is partnering with interim power specialist Aggreko, of the UK, on a 107 MW temporary gas-fired power plant, in Mozambique, which will supply electricity to the utilities of both countries over a two-year period. The facility will be fuelled by gas from Sasol's Temane gasfield and the electricity will be purchased by South African power utility Eskom and its Mozambican counterpart, Electricidade de Moçambique (EDM).

It has maintained a partnership with Aggreko for the past six years, with the joint venture’s most high-profile recent project having been that of supplying temporary power for the FIFA 2010 World Cup.

But it is also participating in the development of a 40 MW gas-fired electricity development, in Mozambique, a 75 MW wind energy project in South Africa and is advancing with plans to develop a solar water heater business in partnership with a Tsinghua University-owned company called Tsinghua Solar and the Cape Peninsula University of Technology.

Moharir says the company has taken a 37.5% stake in the Kuvaninga independent power producer project situated near Chokwe, in the Gaza province of southern Mozambique.

The project is being codeveloped with Investec, Enventure and the Kuvaninga municipal authority and the power will be sold to EDM over a ten-year period. The gas is to be supplied by Sasol and the facility will comprise ten General Electric/Jenbacher reciprocating engines. It will be built by Group Five and operated by ADC Projects.

“We are not yet building, but we are close to concluding the power purchase agreement with EDM,” Moharir says.

Shanduka is also partnering with Gestamp Wind (60%), South African Renewable Green Energy (12.5%) and community groups (2.5%) on the 75 MW Nobelsfontein wind farm, which is located near Victoria West, in the Karoo. Shanduka is a 25% participant in the development.

The project was named as a preferred bidder during the first bid window under the South African government’s Renewable Energy Independent Power Producer Programme (REIPPP), which means that it must reach financial closure by mid-June.

A commercial operation date has been set for the first quarter of 2014, which means that construction should begin by the end of July.

The company is mulling further wind and solar bids during the third REIPPP window, but Moharir says it first wants to assess the economic viability of future bids in light of the decline in prices from the first bid window to the second.

The Department of Energy has announced that average prices offered by the solar photovoltaic developers fell from 2.75 c/kWh in window one to 1.65c/kWh, while wind fell from 114c/kWh to 89c/kWh. The concentrated solar power plant prices fell slightly from 268c/kWh to 251c/kWh.

Edited by: Creamer Media Reporter
© Reuse this Comment Guidelines (150 word limit)
Other Electricity News
Up to $2-trillion in petroleum and coal projects will not be needed if the world takes action to limit warming of the planet to 2 degrees Celsius, according to a report released this week ahead of a global climate summit in Paris. The report adds to a string of...
Article contains comments
Article contains comments
Article contains comments
Latest News
Labour Minister Mildred Oliphant
The National Economic Development and Labour Council's (Nedlac's) consideration of the modalities of the introduction of a national minimum wage could be completed next year, Labour Minister Mildred Oliphant said on Wednesday. Addressing Cosatu delegates at the...
JSE-listed Vukile Property Fund’s distributions for the six months ended September 30, increased by 7%, in line with guidance.   Vukile boosted its distributable income by 27.7% year-on-year to R426.3-million and grew like-for-like net property revenue by 6.1%.   CEO...
Old Mutual Alternative Investments (OMAI) will acquire the 50% of African Infrastructure Investment Managers (AIIM) it does not already own, making it the sole shareholder of the Pan-African infrastructure investment manager. The acquisition marked an important...
Recent Research Reports
Water 2015: A review of South Africa's water sector (PDF Report)
Creamer Media’s Water 2015 Report considers the aforementioned issues, not only in the South African context but also in the African and global context in terms of supply and demand, water stress and insecurity, and access to water and sanitation, besides others.
Input Sector Review: Pumps 2015 (PDF Report)
Creamer Media’s 2015 Input Sector Review on Pumps provides an overview of South Africa’s pumps industry with particular focus on pump manufacture and supply, aftermarket services, marketing strategies, local and export demand, imports, sector support, investment...
Liquid Fuels 2015: A review of South Africa's liquid fuels sector (PDF Report)
Creamer Media’s Liquid Fuels 2015 Report examines these issues in the context of South Africa’s business environment; oil and gas exploration; fuel pricing; the development of the country’s biofuels industry; the logistics of transporting liquid fuels; and...
Road and Rail 2015: A review of South Africa's road and rail sectors (PDF Report)
Creamer Media’s Road and Rail 2015 report examines South Africa’s road and rail transport system, with particular focus on the size and state of the country’s road and rail infrastructure and network, the funding and maintenance of these respective networks, and...
Defence 2015: A review of South Africa's defence sector (PDF Report)
Creamer Media’s Coal 2015 report examines South Africa’s coal industry with regards to the business environment, the key participants in the sector, local demand, export sales and coal logistics, projects being undertaken by the large and smaller participants in the...
Real Economy Year Book 2015 (PDF Report)
There are very few beacons of hope on South Africa’s economic horizon. Economic growth is weak, unemployment is rising, electricity supply is insufficient to meet demand and/or spur growth, with poor prospects for many of the commodities mined and exported. However,...
This Week's Magazine
Additive manufacturing, better known as 3D printing, has the potential to completely change the relationships between individual consumers, professional designers and manufacturers. So argued Loughborough University Reader in Computer Aided Product Design Dr Ian...
Airbus Defence and Space: Military Aircraft has highlighted that its A330 Multirole Tanker Transport (MRTT) has significant commonalities with the Airbus A330-200 commercial airliner, upon which it is based. The South African Air Force (SAAF) once operated a fleet of...
Financial services provider Nedbank launched the second edition of its Carbon Footprinting Guide earlier this month, which is aimed at demystifying carbon footprint approaches and help readers grasp the main concepts of carbon measuring, monitoring, reporting and...
This year marks the thirtieth anniversary of Caterpillar’s first backhoe loader. This also coincides with the worldwide release of its latest-generation F2 series backhoe loader, which was launched at supply chain services company Barloworld Logistics’ Big Dig Day in...
BARRY DWOLATZKY The CPD programme provides advanced skills required locally, and provides a stepping stone to Wits University’s Master of Engineering degree in software engineering
A shortage of software engineers is leading to fewer information technology (IT) projects in private and public sector organisations. This also places a dampener on the economy, as IT is an integral part of business and civil service, says University of Witwatersrand...
Alert Close
Embed Code Close
Research Reports Close
Research Reports are a product of the
Research Channel Africa. Reports can be bought individually or you can gain full access to all reports as part of a Research Channel Africa subscription.
Find Out More Buy Report
Engineering News
Completely Re-Engineered
Experience it now. Click here
*website to launch in a few weeks
Subscribe Now for $96 Close
Subscribe Now for $96