Groot Property Group (Pty) Ltd to Build 900 MW Gas-fired Power Plant in Namibia

FOR IMMEDIATE RELEASE

WINDHOEK, Namibia – October 3, 2011  — /GPG/ — Groot Property Group (Pty) Ltd is developing a rapid industrial ecosystem in Namibia with more than 60 different projects which includes Groot Town Center (Groot), Wire and Cable Plant, Mini Steel Plant, Engineering College, Medical Center, and more related industrial projects that would enable a creation of more than 500,000 direct and indirect better paying and sustainable job opportunities in Namibia within 3 years.

Namibia currently consumes about 2.9 Terawatts (TW) per year, which equals to about 400 Megawatts (MW) per month. NamPower, a national power utility company of the Government of Namibia, currently generates about 35% or 1.2 TW of electricity from its Hydro Power Plant in Ruacana, Coal Plant in Windhoek, and Diesel Power Plant in Walvis Bay and imports about 65% or 1.4 TW of its electricity requirements from South Africa, Botswana, Mozambique, Zimbabwe, Zambia and the DRC to power Namibia.

South Africa has been the primary source for electricity supply to Namibia since the beginning of time. However, about 15 years ago, it informed NamPower that by around 2013, it will no longer be able to supply electricity to Namibia. South Africa has since reduced its electricity supply to Namibia in 2011 and it only accounts for about 10%. Zimbabwe has also been supplying 150 MW of electricity to Namibia. However, it has informed NamPower years ago that by around 2013 it will also cut off its supply to Namibia.

“Recent regular power cuts in Windhoek have raised concerns of NamPower’s energy generation stability, given that South African national power utility, Eskom, is said to have again communicated its inability to supply Namibia with electricity during this winter”. (New Era Newspaper, July 4, 2011).

One of the projects that Groot Property Group (Pty) Ltd is developing as part of its ecosystem is Groot Power Plant, a 900 MW Combined-cycle Gas Turbine Power Plant (net) in South-west Namibia in order to help provide a cleaner, safer, reliable and more cost-effective electricity solution for Namibia. By developing this power plant, it will help meet Namibia’s energy need by supplying it to NamPower and export the difference of 727 MW to neighboring countries at a market prevailing price.

When the Company has implemented its full ecosystem within 5 years, the ecosystem by itself will consume about 400 MW of electricity a month, exactly the same amount as what Namibia currently consumes, making it the largest NamPower’s single customer.

“The wealth creation of a country is directly proportional to the country’s ability to produce and meet its electricity consumption need, and for the first time in the history of Namibia, the country will no longer be a net importer of electricity, but a producer and exporter of a cost effective, cleaner, safer, reliable, and environmental friendly power generation for the entire Namibia”. Says Simon Kapenda, VP Development Operations.

The total budget for the complete planning, development, engineering and construction of Groot Power Plant is about US$1.2 billion (N$9.4 billion). And the Company is raising the needed funds through a combination of debt and equity through a network of connected financial institutions including pre-selected commercial banks in Southern Africa such as Standard Bank. For the Engineering, Procurement, and Construction Management (EPCM) of Groot Power Plant, the Company has selected Aurecon Group Ltd as the EPCM Contractor.

“We seek to work and partner with anyone who can offer value-added proposition for the fast development and realization of the Groot Power Plant and the Groot ecosystem projects in order to help Namibia meet its National Development Plans and Vision 2030 within 5 years instead of 20 years.” Says Robbie Jena, VP, Groot Ecosystem Strategist and Scientist.

The preliminary technical planning and development for Groot Power Plant was started in July 2011 and the construction will begin within a few months. The Groot Power Plant is expected to be completed and ready for commercial operation by end of 2014 in order to help NamPower meet Namibia’s urgent electricity need.

About Groot Property Group (Pty) Ltd
Groot Property Group (Pty) Ltd is a premier rapid industrial development and foreign direct investment management company which focuses on implementing applied neuroeconomics and systems dynamic to efficiently explore, develop, and manage self-sustained ecosystems for the slow-developing and stagnant economies. Learn more about the Groot Power Plant at www.grootgroup.com/gpp.

Source: Groot Property Group (Pty) Ltd.
Web site: http://www.grootgroup.com/pressroom

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Why is My Current Trip to North America and Europe an Urgent Matter?

The following is an update report for our Groot ecosystem development in Namibia.

I arrived in the US on Wednesday this week, but next week Wednesday, I will fly to Denmark before I return to Namibia by next weekend.

The purpose for my trip this time to the US and Denmark is to meet with engineers for the development of our 900 MW Gas Power Plant (Groot Power Plant).

Why is it urgent for the development of this mega Power Plant project in Namibia? I will explain this far below later.

What we are doing now at Groot Property Group is that we are busy registering a new company, that will be called “Groot Power Plant (Pty) Ltd”. This is the company that will develop and operate the Groot Power Plant project. In this new company, we (Groot Property Group (Pty) Ltd), will not be the majority shareholder; in fact, we want and plan to give 15% of equity in this new company to NamPower, 15% of equity to the Ministry of Mines and Energy, 15% of equity to another Namibian government-owned entity, and 10% to a Namibia based and Namibia owned private company, which we have not yet identified, but only the one that wants to partner and work with us for this power project development.

We will only own 30% of equity of Groot Power Plant (Pty) Ltd, and the other 15% of equity will be reserved for a financing partner, which may be Standard Bank which has indicated an interest in this Power Plant or any other investment entities which may be interested in being part of the development of this urgently needed power plant.

We are doing this because we want this Groot Power Plant to be a Namibia majority-owned entity to provide a safer, reliable, environmental friendly (no or less emission of CO2), cleaner, adequate, and cost effective electricity generation solution for Namibia.

This is a US$1.2 billion development project and we envision it to be completed and be operational by the end of 2014 so that starting 2015, Namibia will no longer in need of importing electricity from its neighboring countries.

Hence my current trip to the US and Denmark, is to meet with engineers; the company that will actually do the work; plan, develop, design, and construct this Power Plant is from Denmark, not an American based company. Only Robbie Jena, our Chief Strategist and Architect of our Groot ecosystem, who by the way was born in India but like me, has studied and makes the US his current home, is the brain behind this mega Power plant. He’s specialist in power plant systems development and high critical engineering and technology solutions. Robbie is accredited for architecting the Chinese economy, it’s him who taught the Chinese critical manufacturing and engineering conceptualizations in the early 1980s which after they have implemented his solutions, China has been growing a double digit, making it the world’s largest economy by 2016. And we are honored to have Robbie as part of our team at Groot Property Group.

Furthermore, because this is a natural gas diesel fired power generation station, it needs high level technology and equipment that will come from the US, China, Germany and Japan in order to make it the best performing and more efficient power generation station in Namibia.

Why the urgency need for the development of this mega Power Plant for Namibia?

“Recent regular power cuts in Windhoek have raised concerns of NamPower’s energy generation stability, given that South African national power utility, Eskom, is said to have again communicated its inability to supply Namibia with electricity during this winter” (New Era Newspaper, July 4, 2011).

Namibia, with a population of slightly more than 2.2 million, has a dire need of electricity supply; hence the development of a reliable, clean, safe and adequate electricity generation plant to power the entire urban and rural areas in Namibia is regarded by some of the Namibian government officials as a matter of national security urgency.

The Country currently consumes about 2.9 Terawatts (TW) per year, which equals to about 400 Megawatts (MW) per month. Namibia Power Corporation (Pty) Ltd (NamPower), a national power utility company of Namibia, currently generates about 35% or 1.2 TW of electricity from its Hydro Power Plant in Ruacana, Coal Plant in Windhoek, and Diesel Power Plant in Walvis Bay and imports about 65% or 1.4 TW of its electricity requirements from South Africa, Botswana, Mozambique, Zimbabwe, Zambia and the DRC for distribution in Namibia.

South Africa has been the primary source for electricity generation for Namibia since the beginning of time. However, about 15 years ago, it informed NamPower that by around 2013, it will no longer be able to supply electricity to Namibia. South Africa has since reduced its electricity supply to Namibia in 2011 and it only accounts for 10%. Zimbabwe has also been supplying 150 MW of electricity to Namibia. However, it has informed NamPower about 10 years ago that by around 2013 it will also cut off its supply to Namibia.

In mid-November 2010, His Excellency President Pohamba and his counterparts from Zambia and Botswana inaugurated the Caprivi Link Interconnector, an N$2.4 billion (US$348 million) electricity line financed by NamPower to supply 300 MW with a capacity of 600 MW of electricity to Namibia, Zambia and Angola. But, that’s not sufficient because it’s shared among the three countries and it may experience frequent congestion depending on which country’s heavy usage at any given time.

Groot Property Group (Pty) Ltd (GPG), a Namibia-based premier rapid industrial development and foreign direct investment management company, focuses on implementing applied neuroeconomics and systems dynamic to efficiently explore, develop, and manage self-sustained ecosystems for the slow-developing and stagnant economies in selected developing countries.

Its prime focus is to explore, develop, and manage upscale multifarious rapid industrial ecosystems specifically designed to help improve and fast-track the reduction of poverty and unemployment, address income inequalities, increase economic outputs, improve the quality of life, and strengthen the performance, growth and development of national economies.

GPG is developing a rapid industrial ecosystem with more than 60 different projects which includes Groot Town Center, Wire and Cable Plant, Mini Steel Plant, Engineering College, and more related industrial projects that would enable us to realize our goals for our ecosystem development in Namibia.

One of these projects is a 900 MW Gas fired Power Plant (Groot Power Plant) to provide a cleaner, safer, reliable and more cost-effective electricity supply for the entire urban and rural areas in Namibia. By developing this Power Plant, it will be able to meet Namibia’s electricity needs by supplying it to NamPower at may be N$0.38 per KWh and export the difference of 727 MW to the neighboring countries at a market prevailing price of around N$0.42 per KWh.

When Groot Property Group has implemented its full Groot ecosystem within 5 years, the ecosystem by itself will consume 400 MW of electricity a month, exactly the same amount as what Namibia currently consumes, making it the largest NamPower’s single customer.

This is a development project for Namibia, to be majority-owned by the Namibians. This Groot Power Plant is not a project funded or owned by American based or owned companies. And we are developing this Power Plant to help make Namibia to be no longer a net-importer of electricity but to be self-sufficient in electricity generation and production for the first time in the history of our beloved Namibia.

I appreciate you reading this far and please feel free to post your comment thereto or contact us with any comments, feedback or questions. This is our latest update for our effort to help rapidly develop our beloved country, Namibia.

The Development of the 900 MWe Gas Power Plant By Groot Property Group in Namibia is a Matter of National Urgency

Since the very beginning, Namibia has always relied on electricity supply from South Africa and in recent years, from Zimbabwe, with Zimbabwe supplying about 150 MWe to Namibia, and the rest from South Africa.

In 2010, the Caprivi Interlink Connector was inaugurated to supply 300 MWe to Namibia but it’s shared among Zambia and Botswana. Yes, it has a capacity to supply up to 600 MWe to the three mentioned countries. However, sometimes it may experience congestion in signal flow due to heavy use by any country with the most demand at any given moment.

A few years ago, Zimbabwe informed Namibia that it would no longer be able to supply electricity to Namibia as from sometimes in 2013, same with South Africa. And with the recent Japanese Nuclear Power Plant disaster, many countries have started looking at other options of electricity generation as alternatives to Nuclear Power Plants, with Germany stated that it would phase out its Nuclear Power Plants within 7 years and rely on renewable energy.

France which relies on generating its power supply nearly 70% from its Nuclear Power Plant Generation has also stated that it will look at other options of renewable energy. The Obama Administration has authorized about US$50 billion in studying new technologies for cleaner, low cost and more efficient form of energy, and India as well as many other European countries are following the same step.

South Africa, during the recent Japanese Nuclear Power Plant disaster, had sent delegates to DRC to look at possibly importing electricity from DRC as an alternative should it shuts down its Cape Town Nuclear Power Plant. And if that happens, Namibia will be in the dark; no electricity.

My many meetings with NamPower Senior Executives as well as with Electricity Control Board, it doesn’t seem as if NamPower has an immediate solution to solve Namibia’s urgent electricity need. Their planned Gas Power Plant may be 6 years away from being developed and operational.

But, as we all know it, in Namibia, nearly 88% of the rural areas don’t have electricity. It costs about N$40,000 per each rural area homestead to pay for the NamPower’s Transformer in order for NamPower to connect electricity to the rural homestead, and then the homestead must keep up with the high monthly cost for the electricity. Hence more and more rural homes in Namibia have no electricity.

For the urban areas in Namibia, for those with postpaid electric meters, not prepaid, in their homes, the minimum fee charged per each month by NamPower is N$200 per each account whether one uses the electricity or not. These are the facts for electricity consumption in Namibia.

Yes, the wealth creation of any nation is directly proportional to the country’s ability to produce its own electricity. And Namibia, in 2009, it consumed only 3.2 TWe compare to other countries with almost similar population and industry composite sector such as Slovenia which consumed more than 13 TWe; and this gives us a clear level indication of productivity in Namibia; which in this case is at minimal.

We, at Groot Property Group, plan to develop, design and build a 900 MWe of Gas Fired Power Plant in the South of Namibia near the Kudu Gas field, and we rely on getting the Natural Gas to fire-power this Power Plant from the Kudu Field. And if for any reason that the Kudu Field will be unable to supply the needed Natural Gas for our planned Gas Power Plant, then we will seek to import it from Ghana and Nigeria using whatever methods that will work best.

Our Groot Town Center Ecosystem when fully implemented within 3 years will need 400 MWe, while at the same time, Namibia consumes the same amount of 400 MWe. Hence our plan to develop the stated 900 MWe Gas Power Plant is not just needed in Namibia but it’s a national urgency that must be looked at with great interest and consideration by the Office of the President of Namibia, as a matter of urgency. And we hope and look forward to working and partnering with NamPower as the distributor of the electricity from our planned Gas Power Plant.

Natural Gas is the second cheapest form of generating electricity, followed by Coal, but Coal is the dirtiest and most pollutant compound to the environment, and it’s the most riskiest in mining; more and more miners die each year from Coal mining. Most countries who use Coal to power their electricity production have more money to clean up some of the CO2 that’s generated by the Coal Power Plant.

Other technologies such as GeoThermal, Wind, Hydro, Solar PVC, etc, are too expensive compare to Natural gas, and Namibia is endowed with plenty of Natural Gas at the Kudu Gas field, enough to power Namibia for the next 100 years.

For our planned 900 MWe Gas Power Plant, we have compiled the best team in the world to help us design, develop and build it and be ready for operational within 18 months at the cost of about US$900 million. Our team and partners for our planned 900 MWe Gas Power Plant are up of Russians, Americans, and Japanese. And on Monday, June 13, 2011, I’m traveling to Germany to meet up with an engineering firm which is specialized in designing, engineering, and building Power Plants. This is the firm that we have asked to design, engineer, develop and build our 900 MWe Gas Power Plant.

Once we have this Power Plant operational within 18 months, in early 2013, it would enable Namibia, for the first time in the history of Namibia, to produce our own electricity for our own consumption. And when that happens, it should at least reduce electricity cost in Namibia possibly by as much as 40%, since by importing electricity from Zimbabwe and South Africa, we end up paying perhaps high costs and import fees and then may be pass these costs to the Namibian people.

For financing, we have put a great team of investors in the US who are interested in financing this Power Plant, however, Standard Bank has also indicated with great interest in financing part, if not all, for the development of this Power Plant.

We plan to build this Gas Power Plant in the South of Namibia, near the Kudu Gas field, where we have identified a land suitable for the development of this Power Plant.

On Monday, June 13, 2011, a few of our team members and I plan on traveling to Germany to meet with the officials at the above stated engineering firm to discuss and negotiate our need for their engineering and services to design, develop, and build our 900 MWe Gas Power Plant.

I hope the Namibian government will ask some of their executives to accompany us to Germany, on this historic and urgently important trip for the above stated reason, only going to stay for 2 days, leaving on Monday, June 13, 2011 and returning to Namibia on Thursday, June 16, 2011. I also hope that some of the Namibian people would accompany us to Windhoek International Airport to wish us a safe and pleasant journey to Germany.

Our Sole Purpose

The development of this Gas Power Plant is for the best interest of Namibia, our country, our government, for our people, so that Namibia will become self-sufficient in producing our own electricity, using our own God-given natural resources.

In addition, more than 500 Namibians will be employed for the construction of this Gas Power Plant with about 50 Namibians will be permanently employed at the said Gas Power Plant. Other economic effects include the transfer of knowledge, skills and technology to the Namibians as a result of developing and producing our own electricity.

I hope, as you’ve read this far, that you would please shows us your continued support for our endearing effort, and please pray for us and our trip, as we make this historic and much and urgently needed development, to make this development happen fast to forever benefit our country, and all the people of Namibia, and our economy.

Run, Gore Run, Again…!

My main man, Al Mr. Gore, the joke of late night television shows and the comedy of the all-around town circus, has added another trophy to his unmatched and uncontestable long resume; the most precious Nobel Peace Prize.

It’s now a worldwide phenomenal news and long repeated tale that Al Mr. Gore has won the 2007 Nobel Peace Prize with the Intergovernmental Panel on Climate Change for his Academy Award-winning documentary, An Inconvenient Truth.

Which one sounds better, I wanna be like Mike, or I wanna be like Gore?

In reality, Gore has the most impressive resume more than anybody else on earth. He’s the only one in the whole world to have a resume that includes graduating from Harvard University, studied religion but later enrolled in a law school but without graduating at Vanderbilt, then he served in the Vietnam war as a journalist, then became a Congressman, serving in the U. S. House of Representatives from 1977 to 1985, then became a US Senator, from 1985 to 1993, representing the Great State of Tennessee.

And then he became the forty-fifth Vice President of the United States, serving from 1993 to 2001 under President Bill Clinton, and thereafter, he became the 2000-majority elected President of the United States, but without actually serving as U.S. President, but only after he had gotten tired of recounting and gave George W. Bush the Electoral College victory, and consequently the presidency, daaaank, Al, Mr. Gore.

Thereafter, he became a college professor, teaching at four universities in 2001 as a visiting professor at Columbia University Graduate School of Journalism, Fisk University, Middle Tennessee State University, and UCLA.

Then he founded his own television station, Current TV, which has received an Emmy Award, but he was still dissatisfied, so became an Actor, starring in a self-made documentary film, An Inconvenient Truth, which has won an Academy Award.

He then became a concert promoter, organizing the benefit concert, Live Earth, in an effort to raise awareness about climate change. The concert was held all over the world, with live stages in many different countries on July 7, 2007 and was televised live in many different countries around the world.

Al Mr. Gore is the author of the 2007 book, The Assault on Reason, in which he argues that “there is a trend in U.S. politics towards ignoring facts and analysis when making policy decisions”.

But Al Mr. Gore is not done yet, today, he is president of the American television channel, Current TV, which won the Outstanding Creative Achievement in Interactive Television award at the 2007 Primetime Emmys.

He is chairman of Generation Investment Management, a member of the board of directors of Apple Inc., the maker of our great iPod and iPhone, Mac, and iTunes, etc., and he is an unofficial advisor to Google’s senior management, and chairman of the Alliance for Climate Protection.

And the best part of it all, is that Al Mr. Gore wrote me yesterday, and everyone else in his mailing list, saying that he will donate 100 percent of the proceeds of the Nobel Peace Prize award to the Alliance for Climate Protection, a bipartisan non-profit organization that is devoted to changing public opinion in the U.S. and around the world about the urgency of solving the climate crisis.

Now Al Mr. Gore is going to run, again, for the presidency of the United States of America, if only DraftGore.com’s petition can convince him to run in the 2008 presidential election, and without any doubts, he will definitely win the presidency. And then, he will add to his loooooong resume, as the forty-fourth President of the United States, his Vice-President will then be Bill Clinton, yeah right, what a team would that be?

So, heck yes, I definitely wanna be like Al, and no one else.