Last checked at 11 Aug 2015 07:00
11th August 2015
OPG Power Ventures plc
("OPG", the "Group" or the "Company")
Trading update for the three months ended 30 June 2015
OPG (AIM: OPG), the developer and operator of group captive power generation plants, announces the following trading update for the three months ended 30 June 2015 ("Q1 FY16").
Highlights
· Chennai IV and Gujarat plant commenced operations ;
· Generation of 628 million kWh - an overall increase of 32 per cent from the preceding quarter;
· Average tariff of Rs5.25 per kWh;
· 300 MW Gujarat: new transmission line nearing completion and unit on track to be operational around the end of September 2015;
· Local credit rating upgraded to 'A', which provides a platform to explore refinancing opportunities
Operations Summary
The following table summarises the operations of our principal units during the period under review
Parameter | Quarter ended
| Year ended | ||
30 June 15 Q1 FY16 | 31 Mar 15 Q4 FY15 | 30 Jun 14 Q1 FY15 | 31 Mar 15 FY15 | |
Generation (million kWh) | ||||
414 MW Chennai plant | ||||
Chennai I,II, III, IV* | 472 | 474 | 477 | 1,861 |
300 MW Gujarat plant 150 MW Gujarat** |
156 |
NA |
NA |
NA |
Total (million kWh) | 628 | 474 | 477 | 1,861 |
Average Tariff (Rs/kWh) | 5.25 | 5.58 | 5.54 | 5.55 |
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1 kWh =1 unit
* Includes 15 days for 180 MW Chennai IV;
** Includes 77 days for 150 MW Gujarat
Gujarat and Chennai IV commence operations - Generation up 32 per cent.
Total generation in Q1FY16 was 628 million kWh, an increase of 32 per cent on the immediately preceding quarter (Q4FY15), mainly on account of the first 150 MW unit of the Gujarat plant which produced 156 million kWh. Chennai I, II and III recorded a combined average Plant Load Factor (PLF) of 92 per cent for the period and Chennai IV continues to ramp up. The 150MW Gujarat unit recorded an average PLF of 47 per cent. and continues to ramp up.
Tariff
We achieved an average tariff of Rs5.25 per kWh across both Gujarat and Chennai plants reflecting, as expected and previously indicated, the strength of industrial tariffs in our two states and the continued differentiation brought about through our flexible operating model.
Unit Costs of Generation
Unit costs of generation continue to reflect the differences between our two operating hubs as expected, as well as recent international coal and freight prices and local logistics and currency costs. As previously guided, our unit costs at Gujarat are expected to be lower than Tamil Nadu on account of plant size. Fuel costs of generation for the year as a whole are currently expected to be lower than that achieved in FY15.
300 MW Gujarat - multi circuit transmission line nearing completion
Over 90 per cent of tower erection and stringing work has been completed and preparation of the receiving nodes at GETCO substations is underway. This remains consistent with our target of being operational around the end of September 2015.
Summary and Outlook
The Company has experienced further transformational change during the period with the commencement of operations at 330 MW of newly installed capacity effectively doubling the size of our operations. With our newly constructed assets continuing to ramp up, the overall trading outlook for the rest of the year remains in line with market expectations and we look to the future with confidence.
For further information, please visit www.opgpower.com or contact:
OPG Power Ventures PLC | +91 (0) 44 429 11 211 |
Arvind Gupta / V Narayan Swami / Ajay Paliwal |
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Cenkos Securities (Nominated Adviser & Broker) |
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Stephen Keys / Mark Connelly / Camilla Hume | +44 (0) 20 7397 8900 |
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Tavistock |
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Simon Hudson / James Collins | +44 (0) 20 7920 3150 |
About OPG
OPG operates and develops power plants in India, principally under the group captive model, and currently has as an operational capacity of 750 MW. In the year ended 31 March 2015, the Company operated 270 MW of generating assets and based on its preliminary results announced on 2 June 2015, the Company generated revenues of approximately £100 million, EBITDA of £33.4 million and earnings per share of 4.91 pence.
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