“Project Finance Deal of the Year” awarded by World Finance
The project finance transaction of Maamba Collieries Limited, a subsidiary of Nava Bharat (Singapore) Pte. Ltd. (NBS), has been accorded the “Project Finance Deal of the Year 2016” award by World Finance which is a multi-platform Media Company with over twenty years of experience, specializing in print, digital media, broadcasting and events across key financial sectors.
World Finance has commended the support that the project has gained from Chinese Banks and the new standards it has set in Sub Saharan African project finance deals. Citations given highlight the inter-stakeholder relations of the sponsors, the replicable models which the deal sets, not only for future power projects in Zambia, but also for power projects in Sub Saharan Africa and the impact of the deal on Zambia’s regulatory and legal framework.
NBS attended the award presentation & video interview at The London Stock Exchange studios. World Finance has uploaded the video interview on their Youtube channel which can be accessed by clicking on this link - https://www.youtube.com/watch?v=trvBBbb4cGk&feature=youtu.be
A case study of the Project Finance Transaction has also been published by World Finance on their website as well as in the July-Aug 2016 edition of World Finance Magazine which can be accessed using this link - http://www.worldfinance.com/infrastructure-investment/project-finance/maamba-collieries-aims-to-bridge-the-power-shortfall-in-zambia
MCL wins Environmental Award for Overall Contribution to Sound Management Practices in Industry
MCL wins Environmental Award for Overall Contribution to Sound Management Practices in Industry. The award is based on demonstrated commitment to continuous environmental improvement, clean record with ZEMA since 2014 and uutilization of Best available Environmental Technology (BET) and Best Environmental Practices (BEP).
The award is received at the 2016 ICCS & ZEMA ENVIRONMENTAL & CLIMATE CHANGE AWARDS CEREMONY on 17th June, 2016 held at Hotel Intercontinental, Lusaka.
Power Deal of the Year 2015 Award from PFI
Project Finance International
(PFI) of Thomson-Reuters
, the leading source of global Project Finance Intelligence, has accorded “Power Deal of the Year 2015“
Award in Middle East and Africa
to the project finance transaction
of Maamba Collieries Limited
(MCL). MCL, a step-down subsidiary of Nava Bharat Ventures Limited
, is implementing an Integrated Coal & 300 MW Power Project in Zambia at an estimated outlay of US $ 843 Million.
are the most prestigious annual awards, spread over a wide spectrum of industries and across continents
. MCL’s Award forms part of Roll of Honour announced by PFI
The award will be presented at the Awards Dinner by PFI in London, when 800 of the world’s most senior and successful professionals gather to celebrate industry excellence across the world.
Nava Bharat (Singapore) announces financial closure for integrated coal and power project of MCL
♦ The project, upon completion in 2016, will be the first coal-fired power plant in Zambia, backed by sponsors from Singapore and Zambia and funded by global financial institutions
♦ It is also the first private power project in the Sub-Saharan region to receive export credit agency cover from China Export and Credit Insurance Corporation (Sinosure)
Nava Bharat (Singapore), wholly-owned subsidiary of Nava Bharat Ventures Ltd, an Indian-listed business conglomerate, has announced financial closure for the fully integrated coal and power project of its subsidiary, Maamba Collieries Limited in Zambia.
The 300-megawatt coal-fired power project, fully integrated with captive coal mining, is estimated to cost about USD 828 million. The project has achieved 80 percent completion.
The project is unique in Zambia as it provides a dependable and sustainable base load power source, which is crucial to the country’s energy security and provides Maamba Collieries Limited with ready infrastructure to scale up in line with the growing demand for power not only in Zambia but in the entire Sub-Saharan region. This project has resulted in economic empowerment and growth in the under-developed Southern Province of Zambia.
“We are excited to be a part of this project in Zambia and this is a significant win for us as a Singapore-based company making inroads into Africa,” said Mr Ashwin Devineni, Managing Director, Nava Bharat (Singapore). “There is so much potential in the region and with our extensive experience and expertise in managing projects in the power, mining and agri-business sectors over Asia and Africa, we are confident that the integrated project will have a positive impact on Zambia as well as its neighbouring countries. The infrastructure being created under the ambit of present project affords it easy scalability in tune with growing demand for power in this region,” Mr Devineni said.
The project is being funded on a debt equity ratio of 70:30. Nava Bharat (Singapore) and ZCCM Investments Holdings Plc (representing the Government of Republic of Zambia) hold 65 percent and 35 percent equity stakes in Maamba Collieries Limited respectively. The long-term loans are being advanced by a consortium of lenders comprising development financial institutions and large international commercial banks on a limited recourse project finance basis. Development financial institutions include Development Bank of Southern Africa and Industrial Development Corporation of South Africa while commercial banks include Bank of China, Industrial and Commercial Bank of China, Standard Chartered Bank and Absa Bank Limited. This is the first private power project in the Sub-Saharan region to receive export credit agency insurance cover from China Export and Credit Insurance Corporation (Sinosure). This combination makes it a unique and collaborative project in Africa, where the sponsors are from Singapore and Zambia, principal contractors are from China and is funded by financial institutions across the globe.
“Nava Bharat Ventures has been focusing on power business for the last two decades. The Zambian project investment is a right fit in our growth trajectory from synergy and integrated project perspectives. We are heartened by the participation of lenders across Africa and China, which truly vindicates our conviction in the techno-economic feasibility of the project,” Mr GRK Prasad, Executive Director, Nava Bharat Ventures said. “We remain committed to the highest standards of corporate governance for sustainable business that aims at generating long term value to all our shareholders and we will ensure that our operations benefit the local communities while having minimal impact on the environment,” he added.
Zambia is currently facing a power deficit of 560 megawatts and the imminent completion of the project would aid in bridging the current shortfall, while its prime location will help to facilitate export of power throughout the Southern African Power Pool, a cooperation of the national electricity companies in Southern Africa with a common power grid between their countries and a common market for electricity. This is critical as the demand for electricity is predicted to double by 2030 in the region. Sale of high grade coal by Maamba Collieries Limited to local major industries in Zambia including copper smelters, cement, breweries, steel as well as export to neighbouring countries, will provide an upside to the company.
“The project will help in widening the potential for power generation sources to meet the growing demand in Southern African region including Zambia. This project has therefore received the full support of the Government of Republic of Zambia since inception,” said Mr Venkat Shankar, CEO, Maamba Collieries Limited. “Reports show that Africa’s economy is expected to expand by 50 percent over the next five years and demand for power will also grow correspondingly. We are hopeful that this project will contribute to the needs of Zambia and the region,” he added.
MCL inaugurates 62 houses for Project Affected Persons
As part of rehabilitation programme, Maamba Collieries Limited (MCL), constructed 62 houses with facilities of running water and electricity, for use by families affected by the construction of water draining system for the Power Plant at Maamba. These houses were inaugurated on July 13, 2014 by Mr. Nathanel Mubukwanu, Southern Province Minister. Mr.Christabel Ngimbu, Lands Minister, joined the gathering and visited the houses. They appreciated the Management of MCL and urged the families to maintain the houses properly.
ZESCO team visits MCL, Maamba
A senior management team headed by Managing Director from ZESCO visited, in the month of March 2015, the coal mine and the 300 MW coal fired power project under construction at Maamba. Rear Admiral Mr. Venkat Shankar, CEO and Mr. Gurram Venkata Narayana, COO, of MCL introduced the team to MCL staff. The ZESCO team was impressed with the progress made in the implementation of the power project.
MCL conducts free medical camp
Maamba Collieries Limited (MCL) has conducted a free medical camp on 22nd
October, 2014, for the residents of Maamba on the occasion of golden jubilee celebrations of independence of Zambia.
A total of 226 people were screened for cervical cancer and other diseases during the programme. Of these, 193 persons were screened for cancer of which 56 were treated and 7 were referred to other hospitals.
MCL availed the services of health personnel from the Centre for Infectious Diseases Research in Zambia (CIDRZ) and Ministry of Health for conducting the camp.
The medical camp was started by Mr Dodo Sindaza, District Commissioner of Sinazongwe.
MCL sends Graduate Engineers for further training in India
Maamba Collieries Limited (MCL) has started sending graduate engineers of different disciplines, recruited from universities and colleges in Zambia, to India for on-site training in operation and maintenance of coal-fired power plants. The training will be provided at the power plants of Nava Bharat group which holds a major equity share in MCL.
The first batch of 18 engineers left for India on 19th
September. The next batch of 16 will leave on 1st
This is an initiative taken by MCL to create employment for Zambian Engineers, even for jobs which would have normally been filled by expatriates.
A further batch of 36 graduate engineers will be recruited by the end of this year which brings the total number of graduate engineers to 70 who will run MCL’s power plant when it is commissioned next year.
MCL visits University of Zambia
To develop a competent team of engineers and technicians who will operate and maintain the 300 MW Power Plant presently under construction, Maamba Collieries has established a Technical Training Centre at Maamba and taken up recruitment of bright fresh engineers and technicians who will be trained in power plant operations and maintenance.
As a part of this exercise, a team of officials headed by Mr. Patrick M. Nalumino, Human Resource Manager of MCL, has been meeting students of local Universities and Technical Institutes and explaining the new employment opportunities for young technical personnel, created by the country’s first coal fired power plant coming up at Maamba.
The first visit was to University of Zambia (UNZA) on August 13th
, 2014. The next two visits are planned to Northern Technical College in Ndola and Copperbelt University in Kitwe, on August 29th
ZCCM-IH board, senior managers tour MCL
An high-powered delegation of Board members Mr. Cosmas Mwananshiku, Ms. Sophie Muntemba, Mr. John MD Patterson and Mr. Phillippe Tausacc and officials of ZCCM-IH Ms. Mutale Chanda, Chief Operating Officer and Mr. Charles Mjumphi, Corporate Officer, visited Maamba on 9th
June to see the coal mining operations and the progress of construction of the 300 MW power plant taken up by Maamba Collieries Limited at an investment of USD 800 Million.
Mr Devineni welcomed the Board of Directors of ZCCM-IH and expressed gratitude for their visit for the first time since NBS took over the operations of MCL.
Mr D. Ashok, Chairman, Mr Ashwin Devineni, Resident Director and Mr. Essau S.S Nebwe, Director along with Mr. Gurram V. Narayana, Chief Operating Officer, Mr. Lakshmi V. Narayana, Chief Financial Officer and Mr. Janardhan Lavu, Head of Corporate Affairs, interacted with the members of the delegation.
The delegation appreciated the progress achieved by MCL in coal mining as well as execution of the 300 MW power project and the fact that infrastructural systems like water and power transmission lines were designed for higher generating capacities in future to cater to the demand for power in countries like Botswana and Namibia after fully satisfying domestic demand.
Zambian Members of Parliament visit MCL Power Plant
On March 29, 2014, a delegation of Members of Parliament (MPs) constituting a Committee on Economic Affairs, Energy and Labour visited MCL to familiarize themselves with the 2x150 MW Power Plant under construction at Maamba. The delegation was headed by Chairperson Mr. Highvie Hamududu, MP of Siavonga constituency. Mr. Essau Nebwe, a director of MCL, headed the management team and explained various issues on behalf of the company
The members were quite impressed with the massive power plant and the general operations of MCL and more so with employment of mostly local persons from Maamba. The committee recommended that MCL should select a few Corporate Social Responsibility activities in areas like health and football which are very important in Zambia. The MPs expressed their intention to make a more comprehensive visit next time and wanted to be invited by MCL for the commissioning of the power plant.
Mr Nebwe told the delegation that MCL has adequate coal resources for energy generation and the capacity could be ramped up to 600 MW or even up to 900 MW depending on demand growth and financial resources available.
MCL-sponsored football team promoted
Zamcoal Diggers Football Club, sponsored by Maamba Collieries Limited (MCL) as part of its corporate social responsibility programme , won promotion to the Football Association of Zambia (FAZ) first division after beating Monze Swallows by 1-0 in the final deciding match played on 17th November 2013 at Rail Ground in Monze.
Zamcoal Diggers Football Club (ZDFC) is now among the top 60 clubs in the country out a total of 280. National Soccer Team Coaches usually pick national players from this elite group. Already, Mr. Charles Muntanga, Goalkeeper of ZDFC is among the 28 players picked up to play at the Confederation of East and Central African Football Associations (CECAFA) Senior Challenge Cup starting on 27th November, 2013 in Kenya.
MCL conducts Medical Camp for Women
Maamba Collieries Limited (MCL) has started, on 12th September, a five-day medical camp at Maamba Hospital in the Southern Province of Zambia to screen and treat cervical cancer in women.
On the first day, 156 women were screened with the help of a medical team from the Centre for Infectious Diseases Research in Zambia (CIDRZ). Six of these women were found with severe cancer and referred to the nearby Monze District Hospital.
Ms. Phosile Sichinga , Vice Chairperson of the Ministers’ Spouses Club thanked MCL for recognizing the plight of the women of Maamba and surrounding areas and helping them.
Mr. Dodo Sindaza, District Commissioner of Sinazongwe, urged women to take screening of cervical cancer very seriously because of its effect on the future of the country.
MCL extends Financial support to CIDRZ for Medical Camp
On Friday, August 30, 2013, Maamba Collieries Limited donated K20,000 to the Centre for Infectious Disease Research in Zambia (CIDRZ) to enable them to conduct a free cervical cancer screening medical camp at Maamba Hospital from September 12-14, 2013. The cheque was handed over at a function organized in Lusaka to Charlotte, wife of Republican Vice President Guy Scott. The donation is part of the forward-looking Corporate Social Responsibility (CSR) initiatives of the Company. A team of six doctors from CIDRZ have been identified by MCL to conduct the screening exercise.
MCL conducts free medical camp
MCL organized the 2nd free medical camp on 15th May, 2013 at Maamba Private School, Maamba, to reach medical care to the underprivileged people in the communities around. The coverage at 873 people was more than double the number of beneficiaries in the 1st free medical camp organized on 5th May, 2013.
Four doctors rendered medical services in the areas of gynecology, surgical, dental and general treatments.
The camp was lunched by the Chief Guest Mrs. Charlotte H. Scott, wife of Hon. Dr. Guy Scott, Vice President of Zambia. The launching was witnessed by the spouses of 15 Ministers. His Hon. Dr. Guy Scott, accompanied by Hon. Daniel Munkombwe, Southern Province Minister and Hon. Richwell Siamunene, Deputy Minister of Commerce, Trade and Industry and Member of Parliament from Sinazongwe, participated later. The beneficiaries of the camp appreciated the initiative taken by MCL to meet the health needs of the community.
Mr. D. Ashok, Chairman, Mr. Ashwin Devineni, Resident Director and other members of the Board of Directors and Management of MCL were present on this occasion.
MCL donated 250 blankets to Maamba Hospital. They were handed over to the hospital management by Mrs. Scott.
As a token of MCL’s wider support to community programmes, Mr. Ashwin Devineni, Resident Director of MCL, donated ZMW20,000 to the Ministers’ Spouses Club which would construct shelters for expectant mothers and relatives attending to such patients at Provincial hospitals throughout the country.
MCL delegation visits Provincial Minister
Mr. V. Lakshminarayana, CFO and Mr. G. Venkatanarayana, COO, of MCL called on Mr. Daniel Munkombwe, Southern Province Minister, on May 07, 2013. This was the first meeting of MCL officials after Mr. Munkombwe’s appointment as Provincial Minister.
The MCL team submitted to the Minister, a report on the progress made by the Company under the new management and apprised him of the various steps taken by MCL to address historical and legacy issues, particularly the environmental liability caused by spontaneous combustion and ground water pollution, as well as the CSR activities of MCL and the ongoing construction of a 300 MW coal fired Power Plant at Maamba which would energize Zambia by end 2014.
University students complete a month-long industrial attachment at MCL
Ten students of engineering from the University of Zambia, completed their one-month, hands-on training at MCL on May 4, 2013.
MCL inaugurates Bachelors’ Hostel
This helped the students gain practical knowledge of coal mining operations as well as construction works of a 300 MW coal fired Power Plant. Mr. G. Venkatanarayana, Chief Operating Officer of MCL, advised the graduating students to concentrate on developing practical skills to build successful careers as engineers.
MCL has constructed a new hostel to provide accommodation to about 80 bachelors working for the power plant under construction. The Human Resource Manager Ms. Suzyo Phiri cut the ribbon to signify the opening of the building at Maamba on 30th January, 2013. This is an important constituent of the Company’s drive for rehabilitation / new construction works, to develop suitable infrastructure at Maamba.
MCL is in discussion with various Commercial Banks
MCL is in discussion with various Commercial Banks, Development Financial Institutions and Export Credit Agencies (ECA), to part finance the proposed 300 MW Coal and Power project and other related infrastructure. As a part of Due Diligence process, representatives from these lenders visited the Project site at Maamba on 22nd January 2013 to assess the progress made by MCL in implementing the Project.
MCL constructs vital Community Bridge at Maamba
MCL has constructed a bridge across a stream near the airport primary school at Maamba within 45 days. This bridge serves a vital need of more than 300 students
and teachers attending the school and enables the local community to carry on their day-to-day activities round the year. It saves the hassles faced hitherto by these people, especially in rainy season when crocodile attacks are common.
As a responsible corporate citizen, MCL makes constant efforts to build and nurture long standing relationships with various members of the society in general and the local communities in which it operates, in particular.
The bridge was opened by the District Commissioner, Mr. Dodo Sindaza.
MCL receives "Environmental Award 2012" from ZEMA
Maamba Collieries Limited bagged the prestigious "Environmental Award 2012” in recognition of positive improvements towards sound environmental management practices, from Zambia Environmental Management Agency (ZEMA).
MCL has achieved significant improvement in the management of coal dumps, mitigating air pollution caused by the erstwhile spontaneous combustion in the over burden dumps. The company has installed a new, state-of-the-art, closed cycle coal handling and processing plant which has prevented the pollution of nearby streams caused earlier by the effluents discharged by the old coal washing plant.
Please click here to see "Environmental Award.