Georgian Co-Investment Fund to invest in a US$723 M Tskhenistskali Cascade of HPPs project in Georgia
12 Oct, 2015
The Georgian Co-Investment Fund (“GCF”), a US$6B private equity fund based in Georgia, has announced a US$723 M investment in Tskhenistskali cascade of hydro power plants (“HPPs”) project in Georgia, with total installed capacity of 347.1 MW and annual generation of 1,743.7 M kWh. The project is located in Racha-Lechkhumi Kvemo Svaneti region, Lentekhi and Tsageri municipalities, on the river Tskhenistskali.
A Memorandum of Understanding was signed with the Government of Georgia represented by the Ministry of Energy and will see an investment of US$723 M in Tskhenistskali Cascade of HPPs, whose generation will be aimed for both, winter domestic consumption as well as summer exports to Turkey.
GCF also signed today the consultancy agreement on feasibility study and basic design with Iceland's Verkís and Landsvirkjun Power to jointly conduct the Feasibility Study for the Tskhenistskali Cascade of HPPs. The project is solely owned by the Fund, with the MOU giving GCF the right to introduce additional co-investors in the future.
George Bachiashvili, Chief Executive Officer of GCF, said: “Tskhenistskali Cascade of HPPs project will not only bring significant benefits to the domestic electricity market and the local population, but also enable Georgia to become a prominent energy exporter catering for power demand from the region’s big growth economies.”
Irakli Menabde, Managing Director of Energy and Infrastructure at GCF, said: “We are very pleased to be playing a pivotal role developing the local as well the regional Electricity market. The scale and the technical attributes of the Tskhenistskali Cascade of HPPs will play a significant role in securing sustainable regional economic development as well as create significant opportunities in the local economy through job creation for thousands and infrastructure development.”
Head of Public Relations, Georgian Co-Investment Fund
T: +995 32 2470004