Ireland-based Kibo Energy says a joint venture in South Africa could now make close to R1 billion in ebitda earnings by generating electricity from waste plastic.
That is from one power plant in a business park – assuming the operation is not scaled up significantly.www.BusinessInsider.co.zaThere's some R1 billion in earnings to be had by supplying a single business park with electricity, an Irish-headquartered company told investors on Thursday – using waste plastic.
The JSE-listed Kibo Energy's joint venture, Sustineri Energy, is due to start construction on the planned power station in the first quarter of 2023, which should mean electricity starts to flow in late 2024 or early 2025. It is due to be built for an unnamed"industrial business park developer" in Gauteng, which has guaranteed it will pay for the electricity generated.. It told shareholders the joint venture would need around R180 million in capital to build the plant. It then expected earnings of not much under R40 million per year, for a pre-tax profit in the region of R200 million.
If it could scale up the project to generate nearly three times the initial output, though, those numbers would change – for the better.