Alpha Namibia Industries Renewable Power Limited (ANIREP) has recorded a 139.4% increase in revenue to N$166.9 million for the year ended 28 February 2022 from N$69.7 million realised in the previous financial year.
The Namibian Stock Exchange listed company attributed the revenue increase to the N$317 million 20MW Omburu project power plant that HopSol Africa constructed for NamPower which brought in N$119 million in revenue.
ANIREP Solar (Pty) Ltd generated N$38 million in revenue on the back of the PPAs with NamPower and CENORED which are in place until 2040 and 2041 respectively.
“I am pleased that the ANIREP Group in its infancy stage continues to grow revenue and posting profits through the extraordinary performance of EPC contractor, HopSol Africa as well as consistent performance of PV Utility Power Plants,” said ANIREP Managing Director, Iyaloo Nangolo.
“With a solid platform with predictable and sustainable long-term cash flows, ANIREP generated an EBITDA of N$35.1 million and operating cash flow of N$5.4 million for the year ended 28 February 2022.”
The Group’s short-term investments amounted to N$5.4 million, while interest expense of N$17 million was paid out to lenders of ANIREP.
Nangolo said the group posted a comprehensive income for the year of N$8.5 million which is ahead of J-Curve expectations whereby cumulative IRR is initially expected to dip before positive returns can be achieved after a 5-year period.
ANIREP, posted a gross profit of N$65.2 million and a net profit of N$8.5 million for the period, is reaping the benefits of investing in both EPC contractor, HopSol Africa as well as IPP ANIREP Solar.
“HopSol Africa, while driving ANIREP’s growth strategy, is involved in the EPC development of Solar Power plants which adds value to shareholders. Through EPC development, revenue is generated for the Group even before COD and subsequent revenue in operation and maintenance services post COD. The Solar PV Plants (if owned by ANIREP) will further generate value for shareholders through 25-year PPAs after COD. ANIREP investments are long term in nature with lifespans of 25 years, thus, the targeted IRR returns are achieved in the medium to long term.”
The company currently has a healthy pipeline of projects, which include expanding its existing capacity of 10.73 MW PV Power and installing battery storage for current and future PPA utility clients.
“We will continue to pursue installation of renewable energy to contested buyers, further acquisition and capacity development opportunities,” added Nangolo.
“ANIREP is at an advanced stage in negotiating for the expansion of capacity at one of our current IPP clients from their current 5MW capacity, by adding another 6MW of Solar PV and 3 MW/30MWh of Battery Energy Storage System. At the same time, ANIREP is also finalising negotiations with Dundee Precious Metal Tsumeb for a 18.5 MWac Solar PV installation under MSB framework through wheeling renewable power in the national grid from Kokerboom Sub Station in Keetmanshoop.”
Nangolo said the listed company was aiming to take advantage of the country’s target to become a net-exporter of renewable sourced electricity by 2030 and the National Integrated Resource Plan estimates that 70% or more of the electricity installed capacity will come from renewable sources by 2030.
“Namibia is endowed with abundant wind and solar resources making it one of the lowest cost renewable energy production areas in the world. Our unique vertically integrated structure of being an IPP which also owns the leading EPC company in Namibia in renewable energy development, has positioned ANIREP to be at the forefront in providing affordable renewable power in the country,” he said.
ANIREP was created to provide a bridge for capital markets into the Infrastructural Renewable Energy Projects and intends to provide investors with good, predictable, and long-term yielding investments generating a consistent return on equity over the long term.
