Blue Energy Co.

<p><span style="font-size:12px;"><span style="color: rgb(0, 0, 0); font-family: Arial, Helvetica, sans-serif;">AFRICA’S LARGEST SOLAR PV PLANT</span><br><span style="color: rgb(0, 0, 0); font-family: Arial, Helvetica, sans-serif;">Mere Power Nzema Ltd will build Africa’s largest solar photovoltaic (PV) power plant in Ghana’s Western Region, the company’s parent, UK-based renewable energy investor and developer, Blue Energy, announced today.</span></span></p><p><span style="font-size:12px;"><span style="color: rgb(0, 0, 0); font-family: Arial, Helvetica, sans-serif;">The 155MW plant, at Aiwiaso, in the East Nzema district, will be one of the largest in the world – only three plants in operation today are bigger – and will increase Ghana’s current generating capacity by 6%.</span></span></p><p><span style="font-size:12px;"><span style="color: rgb(0, 0, 0); font-family: Arial, Helvetica, sans-serif;">The $400 million project will be the first to go ahead under Ghana’s 2011 Renewable Energy Act and is a success for the government’s policy of attracting international finance. Last month the Minister of Energy, Dr. Joe Oteng-Adjei announced he was seeking $1 billion of private investment to help Ghana achieve its target of generating 10% of electricity from renewable sources by 2020. The Nzema project will meet 20% of this generation target.</span></span></p><p><span style="font-size:12px;"><span style="color: rgb(0, 0, 0); font-family: Arial, Helvetica, sans-serif;">Chris Dean, CEO of Blue Energy, said: “The Nzema project is a serious investor response to Ghana’s effort to build a sustainable low-carbon energy economy which reliably powers industry and households for jobs and wealth creation. Blue Energy and our consultants HML Marine Power and Energy Ltd. have enjoyed working with the Ghana government to achieve this milestone”.</span></span></p><p><span style="font-size:12px;"><span style="color: rgb(0, 0, 0); font-family: Arial, Helvetica, sans-serif;">He continued: “Ghana’s forward-thinking strategy puts it in a strong position to lead the renewable energy revolution in sub-Saharan Africa. Nzema is a case study in how governments can unlock the huge potential for solar energy in Africa. We are delighted that it will make a strong contribution to the national economy, provide much needed generating capacity and help develop the skills of the future.”</span></span></p><p><span style="font-size:12px;"><span style="color: rgb(0, 0, 0); font-family: Arial, Helvetica, sans-serif;">Don Ackah, Chief Executive of Blue Energy’s Ghanaian consultants HML Marine Power and Energy, said: “This is a solid achievement for Ghana’s energy sector, demonstrating what is possible when Government offers industry a clear policy and regulatory framework and when investors demonstrate willingness to follow laid down procedures and engage constructively with local regulators.”</span></span></p><p><span style="font-size:12px;"><span style="color: rgb(0, 0, 0); font-family: Arial, Helvetica, sans-serif;">Mere Power Nzema has secured the key consents it needs to go ahead with the project. Ghana’s regulator, the Public Utilities Regulatory Commission, has awarded it an indicative feed-in tariff for the plant’s 20-year operational life, under the Renewable Energy Law. Ghana’s Energy Commission has issued a Generation Licence, and Ghana’s transmission grid manager (GridCo) has confirmed it will connect the Nzema plant to the grid.</span></span></p><p><span style="font-size:12px;"><span style="color: rgb(0, 0, 0); font-family: Arial, Helvetica, sans-serif;">The company will now move to conclude discussions with the international banks and investment funds that have expressed interest in the project. It expects to reach financial close in the first half of 2013.</span></span></p><p><span style="font-size:12px;"><span style="color: rgb(0, 0, 0); font-family: Arial, Helvetica, sans-serif;">Mere Power Nzema will commence construction of the plant in 2013. It will start generating power in the fourth quarter of 2013 with full commercial operation by mid-2015.<br>The project will create 500 jobs over the two-year construction period and 200 permanent jobs in operation. It is also expected to stimulate another 2100 jobs in the local economy.<br>The Nzema plant is expected to contribute US$100 million in tax to Ghana’s government over its lifetime. Its clean energy will avoid emissions of 5.5 million tonnes of CO2.</span></span></p>