Denham Capital Management LP, a London-based private equity firm, plans to channel at least $250 million into energy projects in Africa.
The company has established a partnership with Neo Themis, a power supplier based in Casablanca, Morocco. It is currently developing about 400 megawatts of renewable energy and gas-fired projects across Africa and seeks to have one gigawatt under construction by 2019.
Projects in the works include 44 megawatts of hydropower in Cote d’Ivoire and a 50-megawatt solar plant in Nigeria. The partners are also considering projects in Madagascar and Kenya.
“We work in emerging markets where there’s a real need for more power,” said Scott Mackin, managing partner and head of Denham’s power team, in an interview in London.
“Africa is a great example of this; there is so much capital looking for good projects in Africa. It’s definitely a seller’s market.”
The private equity firm has invested almost $1 billion into electricity projects to date across Europe, Latin America, Asia and Africa.
- Bloomberg