The latest Investing Matters Podcast episode featuring Jeremy Skillington, CEO of Poolbeg Pharma has just been released. Listen here.
There was quite a bit of interest in it, and they have an important role to play in the BESS tenders themselves.
Furthermore, this is also interesting (but I think I already saw this passing by).
" After a successful second tender process, World Bank approval for the contract award of the battery systems under
Component 2 was obtained on December 15, 2021."
https://documents.worldbank.org/en/publication/documents-reports/documentdetail/099150012172136781/disclosable0re0rt0project000p122329
It has been a quite long wait, but it is coming
I don't recall this being posted, the Eskom tender on the "Provision of Technical assurance on engineeringdesigns and specs, develop tender documents,project management support, construction supervision andlegal services for BESS" was awarded in September to WSP.
https://projects.worldbank.org/en/projects-operations/procurement-detail/OP00147545
The world bank procurement planning document foresaw this as a original planning, for example for Skaapvlei
- 4 May: Proposal Submission
- 3 June: Bid evaluation Report
- 8 July: Signed contract.
The submission was delayed. But it does give an idea of the timing (although first time around it took a bit longer)
The new skaapvlei tender is online.
https://tenderbulletin.eskom.co.za/Tenders/Docs?TENDERID=46852
They did not meet the requirements set by Eskom.
From the Eskom tender standard conditions:
Test for responsiveness
> Determine before detailed evaluation, whether each tender properly received
?meets the requirements of these Conditions of Tender,
? has been properly signed, and
? is responsive to the requirements of the tender documents.
> Judge a responsive tender as one which conforms to all the terms, conditions, and specifications of the tender documents without material deviation or qualification. A material deviation or qualification is one which, in Eskom's opinion would detrimentally affect the scope, quality, or performance of the works, services or supply identified in the specification, change Eskom's or the tenderer's risks and responsibilities under the contract, or affect the competitive position of other tenderers presenting responsive tenders, if it were to be rectified.
A tenderer’s failure to comply with the said conditions of tender or failure to provide any compulsory documentation required for purposes tender evaluation and the determination of competitive ranking will render a tender non-responsive.
https://tenderbulletin.eskom.co.za/Tenders/Docs?TENDERID=46851
The bid will be reopened next week. Will be interesting to see what they will tweak in the requirements. Especially the experience requirements were "onerous".
As was already in the World bank document last weekend:
Eskom Holdings SOC Limited would like to notify all interested bidders of the cancelation of the Request
For Bid for design, engineering, supply, construction, erection, testing and commissioning of a battery
energy storage system (BESS) with a minimum of 80 MW/320 MWh usable capacity including five
years operation and maintenance services at Skaapvlei substation in South Africa, in Western Cape,
Vredendal.
Reasons for the cancellation:
All evaluated bid submissions were non-responsive.
The revised Request for Bid will be re-issued during the week ending 3 April 2021.
Eskom would like to take the opportunity to thank all bidders who submitted a bid.
I do not know the exact status of the table.
Also the "process status" the BESS tenders of
- Melkhout, Pongola and Elandskop substations
-Eskom Graafwater, Hex and Paleisheuwel Sub-stations
is 'under review'. Whatever that means.
I do sincerely hope it isn't canceled.
How I read it:
The cancelled is mentioned in the column "process status" (first mention of skaapvlei: ZA-ESKOM-144797-CW-RFB / Package 1 - Design, Engineering, Supply, Construction, Installation, testing and Commissioning of Battery Energy Storage System (BESS) including 5 Years Plant Operation and Maintenance Services at Eskom Skaapvlei Sub-station Sub-station)
Second mention last row of the table. Same amount of 169,96 milllion. New series of dates. (SA-ESKOM-225296-CW-RFB
/ P01 - Design, Engineering, Supply, Construction, Installation, testing and Commissioning of Battery Energy Storage System (BESS) including 5 Years Plant Operation and Maintenance Services at Eskom Skaapvlei Sub-station Sub-station)
As I read the world bank table:
First mention of the skaapvlei tender:
- The Bid Evaluation Report and Recommendation for Award was delivered on March 16
- The tender has been canceled.
New planning: Tender will be reopened on the 23th of March. Bids by the 4th of May. Bid Evaluation Report June 3. Signed contract July 8.
If this is the case, the first thing that comes to mind is ffs
Some info on the Oya project can be found in the Visual Impact Assessment Report from last summer.
I've posted the link a few days ago as well.
https://sahris.sahra.org.za/sites/default/files/additionaldocs/Appendix%206%20-%20Specialist%20Studies%20D.pdf
"The proposed Oya Solar PV Facility is approximately 52 km north-west of the town of Matjiesfontein in the Western Cape Province (Figure 1). The proposed development which will be owned and operated by Oya Energy (Pty) Ltd will have a maximum export capacity of up to 800MW. The overall objective of the development is to generate electricity by means of
renewable energy technology, capturing solar energy to feed into the National Grid, which will be procured under either the Renewable Energy Independent Power Producer Procurement Program (REIPPPP), other government run procurement programmes or for sale to private entities if required."
And on the BESS:
"A BESS will be located next to the onsite 33/132kV substation or in-between the PV modules. The BESS would cover an area of up to 7.8ha. The storage capacity and type of technology would be determined at a later stage during the development phase, but will most likely comprise an array of containers, outdoor cabinets and/or storage tanks. Although a BESS does not require environmental authorisation in terms of NEMA, the facility is included in the project description to assess the impact of the footprint on the environment in terms of vegetation removal. "
Or another one:
RM-TA-0171-001 Sputnik Solar Hybrid Hyperion Solar Hybrid Proprietary Limited
Battery storage mechanism with a storage capacity of up to 300MWh
https://sahris.sahra.org.za/cases/hyperion-solar-development-1
I was looking at the Risk mitigation IPP Procurement Programme (RMIPPPP) again. There are definitely opportunities there.
. The first one for example is RM-TA-0006-001 Oya Energy Hybrid Facility (the “Project”). Out of curiosity, i was searching the internet for references to the different programmes. I found this (don't know if there is a direct relationship):
https://sahris.sahra.org.za/sites/default/files/additionaldocs/Appendix%206%20-%20Specialist%20Studies%20D.pdf
Proposed Development of the 800MW Oya Solar Photovoltaic (PV) Facility and Associated Infrastructure near Matjiesfontein,
Western Cape Province. The document states: "A BESS will be located next to the onsite 33/132kV substation or in-between the PV modules. The BESS would cover an area of up to 7.8ha. The storage capacity and type of technology would be determined at a later stage during the development phase, but will most likely comprise an array of containers, outdoor cabinets and/or storage tanks."
"We believe roll-out of this expansion could see EBITDA grow to over US$150m pa within the next five years (assuming
a long-term FeV price of US$40/kg), with margins widening to over 45%".
With a market cap of just over 200m now and a limited valuation for Bushveld Energy, this is for me still a nice opportunity, and thus I am still adding on a monthly basis. Though I must admit I am a bit annoyed by the drop from 24p.
There is indeed no formal deadline for the announcement of the Eskom tender.
The date of 31 December was mentioned in the (related) consultancy tender. However that was still based on the deadline for proposals of 11 September (which was postponed).
Normally after notifying the participants in the tender whether they are the successful bidder, there is a standstill period of 10 days before final publication. So perhaps they already know, but can't tell yet.
This is a nice article as well. In Dutch however.
They plan 4 ships per year.
https://www.nieuwsbladtransport.nl/binnenvaart/2020/06/17/vergroening-binnenvaart-kan-prima-met-flowbatterijen/
Afternoon.
I can not speak for a South-African PI.
I use a Belgian broken (Bolero). I buy via a limit order (I don't know how this is handled between brokers). I look at a third party website like investing . com to figure out the actual spread. In the buys I made, some were handed quickly. Others were not.