FASOBIOGAZ S.A.R.L.
Status: Approved investmentWhy disclosure?
FMO is committed to making publicly available relevant investment information that informs stakeholders and enables them to engage directly with FMO on its investments which, in turn, enhances our investment decisions, the design and implementation of projects and policies, and strengthens development outcomes. Learn more
In case of questions
In case of questions, please contact us at disclosure@fmo.nl
Disclaimer
The information as disclosed is indicative and provided on an "as-is/as available" basis for general informational purposes only and should not be construed as financial, legal or investment advice, nor as a commitment or an offer to arrange or provide any financing. The final decision to provide financing is subject to the terms and conditions of FMO in its sole and absolute discretion. When providing links to other sites, FMO bears no responsibility for the accuracy, legality or content of the external site or for that of subsequent links. The information on proposed investment for high-risk investments is made available in the language relevant to the country or region where the bulk of operations take place. Translations of any information into languages other than English are intended as a convenience for local stakeholders. In case of any discrepancy, the information provided in English will prevail.
Who is our customer
FMO is investing into Fasobiogaz SarL (“Fasobiogaz”), an SPV established under the laws of Burkina Faso with a repayable grant of EUR 0.2 million. The Sponsor is Catalyse Energy B.V., a Dutch company that invests in this and other renewable energy projects.
What is our funding objective?
FMO’s repayable grant of EUR 0.2 million will add to an amount invested by its shareholders of EUR 1.5 mln and a grant from RVO to complete two biodigesters in Ouagadougou, Burkina Faso. The biodigesters will receive organic waste from a slaughterhouse and a brewery nearby and use the gas to produce electricity that is sold to the national electricity company SONABEL. The organic material that remains in the biodigesters is taken out and sold as fertiliser.
Why do we fund this investment?
This is a greenfield renewable energy development in a low-income sub-Saharan country and the first privately owned larger biogas project in the country. Fasobiogaz will provide clean, reliable electricity to a country that has one of the lowest electrification rates in West Africa at a lower price than current thermal power stations. Also, it will produce organic fertiliser in country that can replace imports. The FMO repayable grant with be repaid after 5 years if the client reaches certain financial targets and if those targets are not met, it will become a grant.
What is the Environmental and Social categorization rationale?
Part of the grant will be used to pay for a consultant that will assess the compliance with the IFC Performance Standards and prepare a plan how compliance can be achieved.
- Region
- Africa
- Country
- Burkina Faso
- Sector
- Energy
- Publication date
- 4/29/2020
- Effective date
- 7/13/2020
- Total FMO financing
- EUR 0.20 MLN
- Funding
- AEF-I