4 December 2024
Chariot
Limited
("Chariot", the "Company")
US$100
million in Guarantee Finance Secured
from
British International Investment and GuarantCo for
Etana Energy
Potentially unlocks up to US$500 million of renewable energy
projects
Chariot Limited (AIM: CHAR),
the Africa focused transitional energy group is pleased
to note the press release (link below) made by British
International Investment ("BII") and GuarantCo announcing a US$100
million guarantee finance facility for Etana Energy (Pty) Limited
("Etana"), the South African electricity trading platform which is
owned by Chariot (49%) and H1 Holdings (Pty) Limited (51%).
Etana's business model is to provide competitive,
sustainable end-to-end power solutions through the connection of
power generation projects to commercial and industrial users by
wheeling electricity across South Africa's national
grid.
· BII
and GuarantCo will each provide US$50 million of default guarantee
finance on behalf of Etana in South Africa's largest "energy
wheeling framework" transaction
· Innovative deal designed to guarantee customer demand to
enable new renewable power by providing developers with revenue
certainty needed to break ground on new projects
· US$100
million in guarantee financing has the potential to unlock an
estimated US$500 million of new renewable developments, equating to
a total generation capacity of circa 500MW from wind and solar
projects
Adonis Pouroulis, CEO of Chariot, commented:
"Securing such substantial
guarantees from these multi-national financing institutions
provides strong validation of Etana's business model. Being a
business that we co-founded, this endorses Chariot's strategy to
diversify into different types of assets and regions where we see
rapid, scalable growth under the umbrella of transitional energy in
Africa. These guarantees are the important first stage of the
ongoing financing process required for the bankability of Etana
which is being carried out at the subsidiary level."
The full announcement from BII and
GuarantCo can be found here:
https://www.bii.co.uk/en/news-insight/news/guarantco-and-british-international-investment-partner-to-unlock-us500-million-of-new-renewable-power-for-south-africa-with-landmark-100-million-etana-energy-deal/
About British
International Investment
British International Investment is
the UK's development finance institution and impact investor. As a
trusted investment partner to businesses in Africa, Asia and the
Caribbean, BII invests to create productive, sustainable and
inclusive economies in our markets. Between 2022-2026, at least 30
per cent of BII's total new commitments by value will be in climate
finance. BII is also a founding member of
the 2X Challenge
which has raised over US$33.6 billion to empower
women's economic development. The company has investments in over
1,580 businesses across 65 countries and total net assets of £8.5
billion. For more information visit: www.bii.co.uk
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About
GuarantCo
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GuarantCo mobilises private sector
local currency investment for infrastructure projects and supports
the development of financial markets in lower income countries
across Africa and Asia. GuarantCo is part of the Private
Infrastructure Development Group (PIDG) and is funded by the
governments of the United Kingdom, Switzerland, Australia and
Sweden, through the PIDG Trust, the Netherlands, through FMO and
the PIDG Trust, France through a stand-by facility and Global
Affairs Canada through a repayable facility. GuarantCo is rated AA-
by Fitch and A1 by Moody's. Since 2005, GuarantCo has enabled USD
6.8 billion of total investment and USD 5.7 billion of private
sector investment, giving 44.7 million people access to
infrastructure and creating around 243,000 jobs. GuarantCo's
activities are managed by GuarantCo Management Company which is
part of Cardano Development. To find out
more visit: www.guarantco.com
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About Etana
Energy
Etana Energy is a majority
black-owned licenced electricity trader that supplies electricity
generated by renewable energy projects to businesses in South
Africa, using the national electricity grid. Etana's customers
benefit from certified low-carbon electricity at tariffs
competitive with Eskom or municipal supply, forward price
certainty, flexible contracting terms and qualifying B-BEEE
expenditure. For more information visit: www.etana.energy
Enquiries
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Chariot Limited
Adonis Pouroulis, CEO
Julian Maurice-Williams,
CFO
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+44 (0)20 7318 0450
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Cavendish Capital Markets Limited (Nomad and Joint Broker)
Derrick Lee, Adam Rae
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+44 (0)131
220 9778
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Stifel Nicolaus Europe Limited (Joint Broker)
Callum Stewart, Ashton
Clanfield
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+44 (0) 20 7710 7760
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Celicourt Communications (Financial PR)
Mark Antelme, Jimmy Lea
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+44 (0) 20
7770 6424
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NOTES FOR EDITORS:
About Chariot
Chariot is an Africa focused
transitional energy group with three business streams, Transitional
Gas, Transitional Power and Green Hydrogen.
Chariot Transitional Gas is focused
on high value, low risk gas development projects in Morocco, a
fast-growing emerging economy, with a clear route to early
monetisation, delivery of free cashflow and material exploration
upside.
Chariot Transitional Power is
focused on providing competitive, sustainable and reliable energy
and water solutions across the continent through building,
generating and trading renewable power.
Chariot Green Hydrogen is partnering
with TEH2 (80% owned by TotalEnergies, 20% by the EREN Group) and
the Government of Mauritania on the potential development of a 10GW
green hydrogen project, Project Nour in Mauritania, and are
progressing pilot projects in Morocco.
The ordinary shares of Chariot
Limited are admitted to trading on the AIM under the symbol
'CHAR'.
https://chariotenergygroup.com