Groot Property Group (Pty) Ltd

Groot Property Group Appoints Mott MacDonald as EPCM, Seeks to Partner With NamPower for the 900 MW Gas Power Plant in Namibia

Groot Property Group has proposed to merge the development of its Groot Power Plant with that of NamPower CCGT Kudu Power Station on a 40/40 basis partnership.


Windhoek, Khomas -- (SBWIRE) -- 11/10/2011 -- Groot Property Group (Pty) Ltd has selected and appointed UK-based Mott MacDonald through its South Africa wholly-owned subsidiary Merz and McLellan as the Engineering, Procurement, and Construction Management (EPCM) for the Company's planned 900 MW Natural Gas Power Plant (Groot Power Plant) in Uubvlei, Namibia.

Mott MacDonald is an international consultancy with over 14,000 employees and a turnover of 1 billion Euros. It has extensive capabilities in the power sector in the USA, UK, Middle East, Far East and through its local subsidiary Merz and McLellan in Sub Saharan Africa. It has also been previously involved in NamPower's 400kV Interconnector where it was appointed to assist NamPower with the design, construction, and monitoring works.

Groot Property Group has also selected UK-based Sterling Quality Services Limited (SQS) to provide Quality Assurance, Inspection, and Expediting Services for the planned Groot Power Plant. While Saudi Arabia-based Arabian International Company for Steel Structure (AIC Steel) has been selected to supply steel structure for the construction of the Groot Power Plant.

Mott MacDonald is replacing Aurecon Group due to a conflict of interest with Aurecon having been appointed as an Engineering Consultant for NamPower's recent planned 300 MW Coal Power Plant in Erongo Region, Namibia.

For over 15 years, NamPower, the national electric utility of Namibia, has been planning to develop and build a Combined Cycle Gas Turbine (CCGT) Kudu Power Station (KPS) in south-west Namibia, and for that NamPower has a sole mandate of the Namibian government to the Kudu Gas field which structurally stifles away any IPP to develop an alternative gas power plant in the area.

In around 2016, Namibia will face a severe shortage of electricity, and to help fast-track the development in making the planned Groot Power Plant ready for commercial operation by the end of 2014, Groot Property Group has proposed to merge the development of its Groot Power Plant with that of NamPower CCGT Kudu Power Station on a 40/40 basis partnership. The proposed partnership offers NamPower 40% stake in the planned Groot Power Plant, and likewise, Groot Property Group will hold an equal stake of 40% in the Groot Power Plant, and the other 20% will be reserved for future strategic partners.

Groot Property Group does not expect NamPower to finance any part of the construction costs of the said power plant, in fact Groot Property Group has offered to compensate NamPower for the cost that NamPower has incurred during the development phase of its CCGT power station over the past 15 years.

"Since January 2010, we've been talking to NamPower regarding the development of Groot Power Plant but have been getting a slow response. But this time, I just hope that NamPower will agree to our proposed partnership in order to answer President Pohamba's call in this week's New Era Newspaper, which urged Honorable Minister Isack Katali to speed up the development of the gas power plant using the natural gas from the Kudu Gas field. We have the engineers and funding in place and we are ready to make this gas power plant work for Namibia by the end of 2014". States Simon Kapenda, VP Development Operations of Groot Property Group.

Groot Property Group (Pty) Ltd is developing a rapid industrial ecosystem hub “Groot” in Namibia with more than 60 different projects which includes Groot Town Center, Steel Mill Plant, Wire and Cable Plant, Engineering College, Medical Center, International Airport, Cement Plant, Food Processing Plant, and more related industrial projects that would enable a creation of more than 500,000 direct and indirect better paying and sustainable job opportunities in Namibia within 3 years.

About Groot Property Group (Pty) Ltd
Groot Property Group (Pty) Ltd is a Namibia-based premier rapid industrial development and foreign direct investment management company which focuses on implementing applied neuroeconomics and systems dynamic to efficiently explore, develop, and manage self-sustained ecosystems for the slow-developing and stagnant economies. Learn more about Groot Power Plant at

Simon Kapenda, VP Development Operations
Groot Property Group (Pty) Ltd
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