On 18 December, Albioma signed an agreement with the Jalles Machado group, for the acquisition of 60% of the bagasse cogeneration plant adjacent to the sugar refinery-distillery of the same name in Goianésia (state of Goiás). Its annual crushing capacity totals 2.8 million tonnes of sugar cane.
The agreement provides for the renovation of the existing boilers as well as the installation of a new 25 MW turbine, bringing the site's total capacity to 65 MW.
Thanks to the improved return from cogeneration and the reduced consumption of steam at the sugar refinery, the energy exported to the distribution network should reach 145 GWh per year, from the 2019 campaign. That is nearly twice the current level.
More than 80% of energy sales are already secured on the regulated market. In fact, the cogeneration plant has already ensured long-term contracts and recently sold 75 GWh per year as of 2021 at a price of BRL 258/MWh, linked to inflation, within the latest auction process on 18 December ("leilão de energia nova A-4").
Around 60% of the investment will be financed by long-term financing in local currency. The completion of the transaction remains subject to a number of conditions precedent that should be satisfied by mid-2018 at the earliest.
Frédéric Moyne, Chief Executive Officer of Albioma, said, "I am delighted by the renewed confidence of the Jalles Machado group, which reflects the quality of our relationship. This new partnership, established two years after the acquisition of Codora Energia, is a real recognition of the expertise of our teams in Brazil. We are in line with our growth objectives in Brazil, where the Group is gradually building a balanced portfolio of high-quality assets thanks to the relevance of its positioning."
Next on the agenda: annual results for the 2017 financial year, on 7 March 2018 (before trading).
About Albioma
Albioma is an independent energy producer and world leader in the conversion of biomass into a highly-effective source of energy, in collaboration with its agri-business partners. For more than 20 years, Albioma has operated power plants recovering bagasse, a fibrous by-product of sugar cane, replaced by coal outside the sugar cane harvest. Its unique expertise has enabled Albioma to establish itself as an indispensable partner in the sugar and ethanol industry in the French overseas territories and Mauritius. Albioma is now developing power plants using only biomass, which recover, in addition to bagasse, green waste and wood industry residue. The Group also operates a highly-efficient photovoltaic installation. In 2014, the Group, which already had a presence in mainland France, the French overseas territories and Mauritius, began operating in Brazil, the world's leading sugar cane producer.
For further information, please visit www.albioma.com
Investor contacts
Julien Gauthier+33 (0)1 47 76 67 00
Media contacts - LPM Strategic Communications
Luc Perinet-Marquetlperinet@lpm-corporate.com
+33 (0)1 44 50 40 35
Albioma shares are listed on Euronext Paris (sub B) and eligible for the deferred settlement service (SRD) and PEA-PME plans.
ISIN FR0000060402 - Ticker: ABIO
