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The Blue Circle partners with Ayala Group to develop, own and operate renewable energy projects in Southeast Asia

The Blue Circle partners with Ayala Group to develop, own and operate renewable energy projects in Southeast Asia

Logo_TBC_ACEnergy.jpg

AYALA Group, through its subsidiary AC Energy, becomes The Blue Circle’s strategic partner. 

Singapore-based leading renewable energy developer and operator The Blue Circle Pte Ltd, primarily active in the Mekong region (Vietnam, Thailand and Cambodia), announces the signing of a strategic partnership with AC Energy Inc, power subsidiary of Ayala Corporation. AC Energy and The Blue Circle will jointly develop and construct TBC’s pipeline of around 1,500 MW of wind projects across Southeast Asia, including more than 700 MW in Vietnam. AC Energy took a 25% equity stake in The Blue Circle and will have rights to invest at the project level as well. 

“We are excited to partner with The Blue Circle as we expand rapidly across the region. Our strategic partnership builds on our combined expertise, strong financing capabilities, and robust development pipeline”, said AC Energy Chief Executive Officer Eric Francia. 

“Ayala Corporation is one of the most respected names in Southeast Asia, a family-owned multi-sector group founded in 1834 and still run by entrepreneurs” stated Olivier Duguet, Founder, Chairman and Chief Executive Officer of The Blue Circle. “Their philosophy along with their aggressive expansion into renewable energy in the region fits perfectly with ours and we are very glad to have them as strategic partners going forward”. 

Together, The Blue Circle and AC Energy, expect to start construction of 200MW of wind energy projects in Vietnam next year. These projects will follow the completion of the 40W Dam Nai site construction this year by The Blue Circle, which is the sixth wind farm built in Vietnam and the largest onshore wind energy project in operation in the country. AC Energy has earmarked USD 100M of equity to fund 2019 projects with The Blue Circle. Beside the Mekong region, The Blue Circle has projects under development in the Philippines and Indonesia as well as in Laos, and will work with AC Energy to bring them to energy production. 

 About AC Energy 

AC Energy is the energy platform of Ayala, one of the largest business groups in the Philippines. AC Energy is one of the fastest growing energy companies with over $1 billion of invested and committed equity in renewable and thermal energy in the Philippines and around the region. The company aspires to develop 5 GW of attributable capacity and generate at least fifty percent of its energy from renewables by 2025.

www.acenergy.com.ph 

About The Blue Circle 

The Blue Circle is the leading developer of wind energy projects in Southeast Asia with offices in Ho Chi Minh City, Bangkok and Phnom Penh. The Singapore based company looks to bridge the gap in project development in the region by bringing international project development experience, financial expertise and capabilities together with local market understanding. Its growth strategy is based on a local presence in each of its markets through its own team and offices as well as a network of local partners. By being vertically integrated and having its own wind engineering team, The Blue Circle can identify green field sites, pursue project development milestones up until financing and operating of the generating assets.

www.thebluecircle.sg 

For further information, please contact: 

The Blue Circle 

Linda Ameer Tel: +65 63583414 linda.ameer@thebluecircle.sg 

Sustain Ability Showcase Asia 

Ken Hickson Tel: +65 81397472 Kenhickson@sustain-ability-showcase.com 

AC Energy 

Irene Maranan Tel: +63 917.5298339 maranan.is@acenergy.com.ph 

Pioneer seeks to evaluate wind energy

Pioneer seeks to evaluate wind energy

By Phuong Thu - Vietnam Investment Review

 

Southeast Asia’ s leading wind energy developer, The Blue Circle, showed its pioneering spirit by commencing the first foreign - owned wind project in Vietnam - the $58 million Dam Nai project, while other foreign invested projects remain stagnant due to long delays.

Olivier Duguet, chief executive officer of The Blue Circle told VIR last week that the firm began construction of its 40-megawatt Dam Nai project in the windy central province of Ninh Thuan after receiving its investment certificate last year.

“Vietnam is a key market for our expansion into Southeast Asia, and Dam Nai will be our first operating project in the region. The Blue Circle intends to be an important long - term power producer in Vietnam, with other project under development,” Duguet said.

The Dam Nai project will position The Blue Circle to be one of Vietnam’ s wind energy pioneers. Construction of the project will take place in phases during 2017 and 2018.

Located in a subtropical zone with long coastlines, Vietnam has many advantages for developing wind power. According to a World Bank survey, under the Asia Sustainable and Alternative Energy Program, 8.6 per cent of Vietnam is conductive to wind power, which, if developed, could total 513,360MW.

Many foreign investors are considering wind power projects in Vietnam. Belgium’s Enfinity; Germany’s Domier Aircraft Leasing Limited; Switzerland’s Aero Plus Company; Norway’s SN power; and Germany’s Fuhrlaender AG have all expressed interest in wind power projects in Vietnam.

According to date released by the Ministry of Industry and Trade (MoIT), a total of 50 windfarm projects have been registered, but only five saw implementation. Three of these - the 30MW Tuy Phong plant in the south - central province of Binh Thuan; a 6MW windfarm project on Phu Quy Island; and Cong Ly’s 99MW Plant in the Mekong Delta province of Bac Lieu - are all up and running.

Most of them complained that they are face difficulties paying debt and interest expenses. Some projects have been delayed due to a lack of financing. A major challenge is the low feed- in- tariffs (FiT) for wind power, which were fixed at only 7.8 US cents per kilowatt - hour under the prime minister’s Decision No.37/ 2011/ QD-TTg, making many projects fiscally unviable.

However, Duguet said that focusing on the FiT level is the wrong approach. Instead, focusing on conditions to attract long - term debt financing for projects in Vietnam is the only way to develop widespread wind power in Vietnam. Only the very best projects in terms of wind resources and installation costs will be financially viable in the current environment of difficult financing.

“We think that the current FiT is perfectly suitable for the development of at least 2,000MW of wind projects in Vietnam. Our Dam Nai project fits these requirement,” he said.

Duguet suggests prioritising wind power projects over other projects in the master plan of each province in Vietnam to overlap with titanium mining, shrimp farming, or industrial zones. Another recommendation would be for the provincial authorities to consider a firm’s experience before awarding investment certificates, as many good sites are blocked by novice companies with no previous wind power experience.

According to MoIT, under the country’s latest power development master plan. Vietnam’s total wind power capacity would increase to 800MW by 2020, 2,000MW by 2015 and 6,000MW by 2030.

The FiT is currently under revision to become more favourable for the commercial development of the sector. MoIT suggested increasing the FiT for wind power based on the facility’s location, paying a premium to plants located offshore to offset their initial investment coats.            

  

 

The Blue Circle starts construction of first 40MW wind project in Vietnam

The Blue Circle starts construction of first 40MW wind project in Vietnam

Southeast Asia’s leading wind energy developer The Blue Circle has started construction of its Dam Nai project in Ninh Thuan province, Vietnam.

Since being awarded an Investment Certificate for 40 Megawatt in July 2016, The Blue Circle and its Vietnamese Partner TSV have worked on the land compensation process and the engineering of the site.

The project sits along the Highway One and consist of 933 hectares of agricultural land where a 100 metre meteorological mast had been erected by The Blue Circle in May 2015.

The site has one of the best wind resources of South Vietnam and has the potential for a total capacity installed of 70 to 100MW.

After an extensive selection process, The Blue Circle has chosen Gamesa as the exclusive supplier for its Dam Nai 40 Megawatt project. The G114-2.625 MW turbine will be the first Gamesa turbine supplied to Vietnam and the largest wind turbine installed in the country so far.

The turbine supply contract as well as a 10 year maintenance contract has been signed with Gamesa Wind and the first turbines are expected to arrive this summer on site. The project construction will take place in phases during 2017 and 2018 for a total budget of US$ 58 million.

“The Vietnam wind energy target of 4,000 MW installed by 2025 is ambitious but with long term financing it can be turned into reality” stated Olivier Duguet, Chief Executive Officer of The Blue Circle.

“We are building the first foreign owned wind project in Vietnam and intend to fully participate in the future growth of what could become the largest market for wind power in Southeast Asia” he added.

The Blue Circle has a total portfolio of 1,658 MW of projects under development in 5 countries with offices in Singapore, Bangkok and Ho Chi Minh City. Dam Nai will become its first operating project.

About The Blue Circle

The Blue Circle is a developer of renewable energy projects with a focus on wind power and projects in ASEAN countries. Based in Singapore, the company works to bridge the gap in project development in Southeast Asia by bringing international project development experience and financial expertise together with local market understanding. Vertically integrated with unique regional wind engineering capabilities, The Blue Circle can identify green field sites, pursue project development milestones up until financing and operating of the generating assets.     

For further information, please contact:
Olivier Duguet    
Tel: +65 6358 3414    
olivier.duguet@thebluecircle.sg

 

 

The Blue Circle appoints new Director to drive Wind Energy Investment in Cambodia

The Blue Circle appoints new Director to drive Wind Energy Investment in Cambodia

Varabott Ho

Varabott Ho

Southeast Asia’s leading wind energy project developer The Blue Circle has appointed a new member to the Company’s Board of Directors today, extending the board’s size to six members.

“I am very pleased to welcome Varabott Ho to our Board of Directors” said Olivier Duguet, Chief Executive Officer of The Blue Circle. “He will bring not only his extensive international financial experience but also his understanding and knowledge of the new Cambodia emerging economy.

“It confirms our interest in implementing renewable energy solutions for a country where electricity demand is growing at 16% per year and with the second highest cost of energy in the ASEAN”.

Cambodia had 2,008 MW installed and 58% households electrification rate as of December 2016. The country is still dependent on its imports for 24% of its energy supply and has planned to add 1,335 MW of new power capacity by 2024.

Varabott Ho has more than 20 years working experience in the banking and finance industry across Europe and Asia Pacific. He worked in Private Banking at Banque Indosuez and Banque Hottinguer before becoming Senior Investment Manager at Credit Suisse in Paris, London and Zurich.

In 2010, Varabott specialised in emerging markets at Axa in France and Leopard Capital in Cambodia. He is now General Manager of the Institute of Banking & Finance Cambodia, founded by The Association of Banks in Cambodia to provide training to the banking and finance community in Cambodia. Varabott has acted as an advisor to The Blue Circle since 2013.

Varabott graduated from the University of Chicago Booth School of Business and is a certified EFFAS International Investment Analyst. 

About The Blue Circle

The Blue Circle is a developer of renewable energy projects with a focus on wind power and projects in Thailand, Vietnam, Indonesia and Cambodia. Based in Singapore, the company works to bridge the gap in project development in Southeast Asia by bringing international project development experience and financial expertise together with local market understanding. Vertically integrated with unique regional wind engineering capabilities, The Blue Circle can identify green field sites, pursue project development milestones up until financing and operating of the generating assets.

For further information, please contact:
Olivier Duguet
Tel: +65 6358 3414
olivier.duguet@thebluecircle.sg

Dam Nai Wind Project provides support to local communities for Tet Festival

Dam Nai Wind Project provides support to local communities for Tet Festival

On 21 Jan 2017, Dam Nai Wind Power JSC supported the local communes of Tan Hai, Phuong Hai, Bac Son and Bac Phong with Tet Festival gifts to poor communities living in the areas of the Dam Nai Wind Farm. 

100 gifts were offered by the Chairmans of the communes, as well as Mr Dien, representing TSV Invest, The Blue Circle’s local partner on the project.