Why Ruvuma Energy
The strategic, financial, and structural case for East Africa's most comprehensively engineered integrated energy platform — bankability-validated and DFI-ready.
DSCR by SPV — FID-Ready Model Suite
Eight-file bankable model suite (3 Technical + 3 Bankable + Platform + HoldCo). Blended platform DSCR ~5.35× — well above the 1.25× DFI covenant threshold.
Bankability Logic: SPV3's standalone DSCR (0.41× under IFC revolving structure) is absorbed at HoldCo level by SPV1's sovereign PPA cashflows (2.02×) and SPV2's contracted LNG offtake cashflows (8.77×). Platform blended DSCR of ~5.35× provides substantial headroom above the 1.25× DFI covenant.
Risk Matrix & Mitigations
Sovereign PPAs (SPV1) and binding LNG offtake (SPV2) provide floor cashflow certainty. VP hubs (SPV3) carry market risk, absorbed by HoldCo.
Samsung E&A (EPC), Baker Hughes NMBL/LM9000 — proven large-scale LNG technology with multiple global reference projects.
~57 TCF Tanzania + 100-180 TCF Mozambique provides multi-generational gas supply certainty. ENH GSA in finalisation.
Mitigated via fixed-price EPC contract, performance bonds (USD 300M full IWF), phased delivery (SPV1 first), and Owner's Engineer oversight.
USD-denominated tariffs and offtake contracts provide natural FX hedging. TZS/MZN exposure limited to local OPEX.
Host government conditional approvals secured. Tanzania Vision 2025 and Mozambique ENH alignment. DBFOMT concession framework.
Why Integrated Beats Standalone
Single Financial Close
All three SPVs close simultaneously. Lender risk is diversified across industrial (sovereign PPA), LNG (ECA-heavy), and VP (IFC revolving) cashflow streams — no sequential financing risk.
DSCR Cross-Support
HoldCo consolidation absorbs SPV3 weakness (IFC revolving, 0.41× standalone) via strong SPV1 and SPV2 cashflows. Blended ~5.35× provides 4.1× of covenant headroom.
Captive Power Supply
SPV1's 300 MW power plant supplies the EIP and exports 220 MW to TANESCO/EDM. This eliminates SPV2's grid power risk and reduces LNG plant OPEX by ~12%.
Binational Jurisdiction
The platform spans Tanzania and Mozambique, aggregating Ntorya gas (TZ) and Area 1 ENH gas (MZ). Dual-jurisdiction reduces single-country political risk for ECA/DFI lenders.
Lobito Corridor Precedent
AFC's Lobito Corridor engagement (copper belt rail) provides the institutional template for Ruvuma Energy's AFC co-lead development role — reducing time to mandate confirmation.
ECA-Ready EPC Stack
Samsung E&A (EPC), Baker Hughes NMBL/LM9000 (OEM), KfW IPEX-Bank (ECA) — the technology and financing stack is pre-matched for ≥51% European/Korean content ECA cover.
DFI & ECA Lender Stack
| Institution | Role | Tier |
|---|---|---|
| AFC | Co-lead Development Institution | Primary |
| AfDB | Senior DFI lender | Primary |
| KfW IPEX-Bank | ECA Lead Arranger (SPV2) | Primary |
| IFC | Revolving facility (SPV3) | Primary |
| TDB Group | Regional co-lender | Secondary |
| EU Global Gateway | EU infrastructure envelope | Secondary |
| US DFC/PGII | DFC bilateral facility | Secondary |
| JBIC | Japan bilateral financing | Secondary |
| India Exim | India-Africa bilateral | Secondary |
Meet the Development Team
Learn about the consortium behind Ruvuma Energy — Viability Gap Plc, N-Gas Ltd, and GEFCO Invest Norway.
About the Proponent