Transcript Infra Co

ENVALOR LIMITADE
Project:
Ethanol / Electricity Co-generation Plant
Mozambique, Manica Province
November 5, 2009
Envalor Limitade
•
A Company Formed in Mozambique
•
Focus - Infrastructure Development Project:
•
Fuel Grade Ethanol plant - 150 Million Litres
•
Electricity generation plant - 32 MW/h
•
25000 ha of Cultivated land (Sugar Cane, Dry Beans)
•
Estimated Project Cost: US$ 330 Million
2
Lead Developer - InfraCo
•
Focus: Infrastructure Project Development that promotes Sustainable SocioEconomic Growth;
•
Region: Sub-Saharan African Region;
•
Sectors: Energy, Transportation and Water;
•
Infraco has a number of projects underway in Africa:
•
Uganda - Multi Utility Project (Project Cost: US$ 40 Million);
•
Cape Verde - Wind Power (Project Cost|: EUR 55 Million);
•
Zambia - Irrigated Farm Development (Project Cost: US$ 25 Million);
•
•
Ghana - Gas Fired Power Plant (Project Cost: US$ 300 Million);
Mozambique - InfraCo is playing a lead role in developing an “investment
blueprint” for the Beira Agricultural Growth Corridor (BAGC);
Infraco is working with Casachron to carry out this project.
3
Project Scope
•
•
Produce 150 Million Litres of anhydrous fuel grade Ethanol
•
Sugar cane (Primary feedstock);
•
Sweet Sorghum (Secondary feedstock);
•
Sold to the export market with availability to the domestic market;
Produce 32 MW/h Electricity (Bagasse)
•
•
Food production
•
•
An estimated 22MW/h used by the plant and the excess exported to the
national grid;
The production of 10 000 tonnes per annum of dry beans is planned;
Agriculture
•
To deliver feedstock to the plant and produce food, approximately 25000
ha of cultivated land will be developed;
4
Product
Ethanol Production - 150 Million Liters per annum
•
Biochemical process from Sugar cane juice or molasses;
Product Demand
•
There is a global annual increasing demand for ethanol as a vehicle fuel,
which has been concluded as an excellent energy alternative to oil;
•
The EU is anticipated to face an ethanol deficit of up to 7.5 Billion Liters per
annum by year 2020;
•
It is envisioned that a considerable volume of this Ethanol could come from
Africa;
Ethanol Plants – Colombia, Brazil
5
Product
Electricity Production - Bagasse > Boiler / Steam / Electrical Power - 32MW/h
•
We plan to use a high pressure bagasse - fired boilers/steam system to
generate electricity;
•
22 MW/h is estimated to be used by the plant;
•
10MW/h is estimated to be tapped off to the national grid;
•
Bagasse is considered renewable and environmentally neutral;
Bagasse
Boiler / Turbine
Power Lines fairly close to site
6
Product
Agriculture
•
Food Production – Soya Beans considered (Protein)
•
•
Based on Mozambique’s food needs
Sugar cane and Sweet sorghum production
7
Project Goals
•
A cost effective commercially viable operation;
•
Environmentally - non-invasive;
•
A quality product delivered - Fuel Grade Ethanol for the export market with
availability to the local market, Electricity, Food;
•
Environmentally friendly electricity generation - excess for local market;
•
Food production and fuel security for the host country Mozambique;
•
Through an estimated 1800 Jobs created, an improved standard of living for
the residents in the area and a considerable impact to the economy;
•
Transfer of skills to previously disadvantaged communities;
•
A new market for farmers, jobs and social and health care services;
•
The project is focused on complying with the requirements as set out in the
“political and strategic framework for biofuels of Mozambique”;
8
Mozambique’s Needs
•
This project is intent on complying with all of the requirements as outlined by
the Mozambique Government, which are broadly:
•
Significant project participation by the local community and Mozambique
in general;
•
The local community to be respected;
•
Food to be produced;
•
Mozambique to have first rights to Ethanol at market prices;
The Mozambique Government has confirmed its commitment to the bio-fuel program
9
Environment & Social
•
Strict Compliance - Through execution there will be strict compliance with World
Bank / IFC and Mozambique (MICOA) environmental and social standards;
•
Environmentally positive - Ethanol and electricity production using sugar cane
and sweet sorghum as the feedstock will be positive on the environment;
•
Infrastructure - In a controlled fashion to insure effective execution, the project
proposes to allocate funding for housing and relocation for the local community;
•
Employment - It is anticipated the operation will employ approximately 1800
People;
10
Business Case
•
A preliminary financial model, with assumptions, represents the project as
financially feasible;
•
US$ 330 Million is the estimated turnkey cost of developing:
•
•
25000 ha Cultivated Land;
•
150 Million Litre Anhydrous Ethanol Plant;
•
32 MW/h Electricity Generation Plant;
The cost of the project will be confirmed when assumptions and additional cost
variables have been qualified.
11
Assumptions
•
Agricultural Assumptions •
Water (volumes and cost of sourcing);
•
Soil type and quality across site;
•
Feedstock yield - general agricultural variables;
•
Technical Assumptions - cost and volumes of product produced;
•
Environmental and Social Assumptions - useable area ;
•
Logistics Assumptions - Haulage and transportation costs;
•
Legal and Regulatory Assumptions.
12
Site Selection And Location
Why This Site?
A high-level evaluation has been executed on this site which confirms the following:
•
Good indicative potential for the required water volumes and costs to source water;
•
Good indication of the required soil types and soil quality across the site;
•
Indicated to be environmentally and socially manageable;
•
Good road infrastructure to Beira for distribution of product;
•
Access to electricity transmission lines - fairly close to the site;
•
Identified to be available (No concession held on the site).
13
Development Process
14
Next Steps
Fatal Flaw Analysis
•
Provincial Authorities endorsement of the project and the use of the
land identified for the project;
•
Formal application for the land;
•
Environmental and social assessment pre-scoping;
•
Detailed assessment of soils, water and irrigation;
Begin Development Phase
15