This summary covers an investment by Globeleq Energy Holdings (Cameroon) B.V. of the Netherlands in Kribi Power Development Company S.A. in Cameroon. The investor has applied for a MIGA guarantee of €46.8 million ($50.4 million equivalent) for a period of up to 20 years against the risk of breach of contract.
The project involves the expansion of the existing Kribi power plant. Kribi Power Development Company will add a further 125 megawatts gross power generation capacity through the installation of seven natural gas-fired reciprocating engines. The project will increase a total net power generation capacity of the Kribi power complex to 330 megawatts.
The project is a Category A under MIGA’s Policy on Environmental and Social Sustainability. An environmental and social review summary (ESRS) for the project was prepared by the International Finance Corporation (IFC), and disclosed on February 11, 2015. Click here to view the ESRS prepared by IFC.
The project will further enhance reliability of the power sector and increase fuel diversity in a country where 65 percent of installed capacity is hydropower. It is also expected to help better manage the country’s gas resources, some of which will be used for power-generation purposes. The project is part of Cameroon’s least-cost expansion plan for power generation.
MIGA’s proposed support for this investment is aligned with the Agency’s strategic priority of supporting investments into countries eligible for concessional financing from the International Development Association.