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BGEO Starts Construction of Power Plants in Svaneti and Guria

BGEO Group starts construction of power plants in Svaneti and Guria. Representative of Georgia Global Utilities Archil Gachechildze told TV Pirveli that 50 and 57 MW capacity plants are underway in MestiaTchala and Guria respectively.

Apart from Communal business the group is also working on renewable energy business for IPO.

In addition to power plant construction, we are researching solar and wind potentials in Georgia. Doing IPO of mentioned potentials separately, would be difficult for us, because their scales are not large enough. However joint version of these businesses lets us to make suitable proposal for LSE.

“The total project cost for Svaneti project is $65 million and for Guria, group will invest approximately $80 million. Our investment in energy sector depends on negotiations with the Government of Georgia. In case of attractive proposal we will review investing hundreds of million dollar implementations,” Gachechiladze notes.

As for construction of wind power plant Archil Gachechiladze says that final economic findings on seven chosen locations will be ready before the end of the year, after that company plans to launch construction of stations on 3-4 locations.

To remind, Georgia Global Utilities will do an IPO in 2-3 years. The company owns communal and energy equities in Georgia. Including Georgian Water and Power, Rustavi and Mtskheta waters.

As for the renewable energy field, BGEO plans $28 million investment. “From 2-3 years we aim to do combined IPO of renewable and communal energy businesses.