Sept 29, 2010 (LBO) – Hydro Power Free Lanka, a mini-hydro power firm which has a generating capacity of 3.2 MegaWatts is selling 35 million shares to raise 350 million rupees to build more plants, the Colombo Stock Exchange and officials said. The firm operates two 1.6 MegaWatt plant in the Gampola area in Sri Lanka’s hill country and is planning to add 5.37 MW of new capacity with the proceeds, through several plants owned through three 100 percent owned subsidiaries.
In the year to March 2010 the firm has earned 115 million rupees in revenue selling power to the national grid and net profits of 57 million rupees, head of finance Sanjaya Prasad said.
The company now has 109 million shares issued. The firm is now a 50:50 joint venture between Free Lanka Power Holdings and Pussellawa Plantations.
The issue, managed by Taprobane Holdings Limited will open for subscription in mid October.
Last year one plant which was rated at 1.2MW and had generated 4.2 GigaWatthours of energy indicating a plant factor of 40.5 percent, but this year it will be able to sell up to 1.6MW of power to the grid.
It had nine years left in the power purchase agreement with the state-run Ceylon Electricity Board.
The second 1.6MW plant ha