THE GREENTOWER
SOLAR POWER STATION WITH
INTEGRATED GREENHOUSE
Short Executive Summary
for one to eight 400MW GreenTower solar power stations
in Namibia,
also in preparation for GT power stations
in the UAE, Australia, India, China etc.
State February 2008
Issued by GreenTower Limited, Tel/Fax +27 12 803 6679
PO Box 632, La Montagne 0184, Pretoria, RSA
Please note that all information below is
copyright: GreenTower Ltd.
Contact Us for permission
about usage of any part of this information
GREENTOWER TECHNOLOGY AND COST
1. WORKING MECHANISM
[See Diagram]
Visible radiation from the sun and (overcast) sky heats the air inside the glass covered collector, the buoyancy of which causes an up-draught inside the centrally situated tall chimney flue driving turbine(s) with integrated generator(s) at the chimney foot. Present solar to power efficiency is 4%, theoretical (Carnot) limit = 25%, practical limit = development potential = 14%.
Vegetation inside the greenhouse increases power production according to Stellenbosch University, continuously researching the GT since 1998. The outer 2/3 of the collector’s area is used as a greenhouse and for air heating at the same time. Evaporated water is re-condensed.
2. SPECIFICATIONS
● The concept of the GreenTower® (GT) follows Prof. Schlaich’s Updraft Tower (Solar Chimney), but combines power station + greenhouse (high profits), recent international research results and unique experience in cooling tower design/building by Krätzig & Partner + related German experts.
● Flue height = 1 500m; flue-Æ:180 - 280m; collector-Æ: 6,9km; collector-roof height: 10–30m
● Power rating: 400Mwel (pure solar, emission-free); 32 turbines at flue perimeter with integrated linear generators; plant load factor ³ 89%; availability = 97%
● 6 day full power quick-response thermal energy store + seasonal store Þ power at any time
● Collector area = 37,5km², dry area = 12,5km²; outer ring = greenhouse area = 25km²
● Greenhouse: Drip irrigation + humus soil (12% £ humus £ 25%); high yield-low cost organic agriculture (microbial nitrogen fertilization); composted plant matter buried in soil as humus
● CO2 sequestration per GT + related irrigation schemes » 2 000MWel of coal-fired power emissions
● Design life-span = 160 years, depreciation period ³ 80 years; construct. period = 3 to 4 years
● Capital cost: Dry GT: €475m; greenhouse implements: €90m; glass factory: €35m
3. ENVIRONMENT AND SAFETY
[See Environmental Impact and Human Health]
● Emission-free and most environment-friendly power production by high CO2 sequestration
● High CO2 credits create revenues in developing countries; global warming can be reversed
● GTs supply humus to surrounding areas for high root growth (1m in 3 days) + water retention
● Hitherto value-less desert areas can be cultivated (desalination + pumping) with a profit
● Agricultural production rises from 100% open air to 270% plus in GT, no land sterilization
● Building impact is spread over 160 years, previous GTs provide energy for building new GTs
● Only 3 persons present in dry sector (Æ = 4km), low loss with full-scale attack on chimney
● Workers in the greenhouse are automatically protected against broken glass by shadow nets
4. ADVANTAGES OF THE GREENTOWER
● Revenues from greenhouse (³ 2x power) + power as also its long life-span guarantee a long-term real power price of 1,5 €c/kWh between 30° north and south and by DC transmission a price of 2,0 €c/kWh between 55° north and south, i.e. Europe, North China, USA
● High profit despite lowest power price attracts private investment and equity on big scale
● Highest proven reliability of all power technologies so far; lowest electric running cost
● Insurance policies on design, structure and power output take any risk out of the investment
● Proprietary desalination processes supply very cheap irrigation and potable water
● GT humus + water desalination/pumping makes desert cultivation profitable
● GT greenhouse and related irrigation schemes supply work for up to 30 000 people per GT
● Return on investment ³ 50% Þ Best possible investment in power and agriculture
STATE OF THE PROJECT
1. TECHNOLOGY AND DESIGN
● The GT has since 1996 been developed under leadership of GT Ltd at 10 universities and 31 other research institutions at their own cost by world leaders in their field, for instance:
* Prof Kröger from Stellenbosch University, the foremost expert on the thermodynamics of cooling towers, guarantees insurance policies on power supply from leading underwriters.
* Prof. von Backström from Stellenbosch University, world leader in fan design, improved the GT-turbine effiency from 70% to over 90%.
* Prof. Meins from the Technical University of Braunschweig, the leading expert on turbine- integrated linear generators, leads a group of outstanding experts on the GT power train.
* Prof. Krätzig, Krätzig & Partners Engineers, and Prof Harte of Wuppertal University, the leaders in cooling tower design + failure analysis, will do the GT-design and construction
* Profs Niemann and Höffer at Bochum University, the leading experts on (periodic) wind forces are investigating their effect on the tall GT-flue in the unique Bochum wind tunnel.
● The individual developments will now be integrated into one technology with 34 patents during pre- and feasibility studies in Namibia, at the same time also being planning studies.
2. TENDERS AND CONTRACTS
● As the South African utility Eskom stopped guaranteed power supplies to Namibia as from 2007 due to lack of capacity, the state utility Nampower is looking for new power supplies.
● When the Kudu offshore gas owners in Namibia, abandoned by Shell and Chevron as not feasible, doubled the gas price in 2006 despite contracts, Nampower put a 400MW power station near Walvis Bay on a pre-selection tender, where GT Ltd/Bicon were short-listed.
● The low GT-price of 1,5€c/kWh, cheap water desalination and job creation was decisive.
● In Nov. 2006 Nampower issued a preliminary power purchase agreement to GT Ltd.
● The presentation of the GT-experts to Nampower on 16.02.2007 convinced Nampower that ”the GT-experts can build the 1 500m-GT-chimney and can solve all possible problems”.
● Nampower thus requested an offer by GT Ltd for a pre-feasibility study on 1 to 4 GTs for drawing Al smelters to Namibia through a low price of power and deep sea harbours. Nampower’s request implies them carrying half the cost of the pre-feasibility study (€0,5m).
● Hence GT Ltd requires a minimum of €0,25m for the other half of the cost to make this offer.
● The Trans-Kalahari-railway consortium for the coal export of 80 million ton/y from Namibia and Botswana via Shearwater Bay near Lüderitz Bay will contractually buy cheap power and desalinated water for the railway, harbour and an Al-smelter (4 GTs). US$4b are available.
● In Rajasthan, India, a power purchase agreement and free-trade status is being negotiated.
● Negotiations with the UAE for cheap desalination, power + CO2 sequestration have been initiated.
● Negotiations with the Australian government for cheap GT CO2 sequestration have been initiated.
FINANCE AND EQUITY
1. FINANCIAL REQUIREMENTS FOR PRE- AND FEASIBILITY STUDY
|
Study/ item |
Cost in million |
US$ |
€ |
Duration in months |
|
Bankable pre-feasibility study |
Quoted |
0,65 |
0,5 |
6, (11 provisional patents) |
|
Bankable feasibility study (FS) |
Quoted + assessed |
20,4 |
17,0 |
24 |
|
Includ.34 int. patents + techn. study |
Quoted |
(3,6) |
(3,0) |
30, full technology package |
The €0,5m for the pre-feasibility study will be financed by a 40% shareholding in the company GreenTower Development (Pty) Ltd, incorporated in SA, which holds 50,1% in GreenTower Ltd, incorporated in SA. Note that the bankable PFS as a base for obtaining further equity/ loan capital adds considerable value to GreenTower Development (Pty) Ltd shares, as does the 2,5-years-protection by about 11 provisional patents at the end of the PFS.
The €17m for the feasibility study (FS) will be financed by a 40% shareholding in GreenTower Ltd, €10 of which will be granted as an unsecured, non-interest bearing loan by the new shareholders, to be paid back, as the first GT(s) are built. W.W. Stinnes will control both companies via his 50,1% in GTD. The FS will protect the GT technology by 34 final patents.
2. FUNDS FOR THE GREENTOWER POWER STATIONS
As the EU cut CO2-emissions by 10%, Germany lacks 245 million ton in CO2-certificates for 53 new power stations till 2012 which only GTs with their high CO2 sequestration can supply. The German government can solve the problem by offering financial (Hermes) guarantees to the (coal) lignite-fired power stations with the lowest cost of power but highest CO2-emissions so that they can invest cost- and risk-free in the planned 8 GTs in Namibia, get certificates and par-ticipate in the high GT profits. GT Ltd is presently talking to the German Ministry of the Environment and three of the four big power suppliers. The high GT profits and power insurance policies make the GTs also a good client for project financing. Swiss banks are showing serious interest. The long-term high GT yields are particularly appealing to life-insurers.
3. INCOME/RETURN ON SHAREHOLDER'S CAPITAL IN GT LTD
A. Technology fee of 3% on investment with every GT built.
B. Guaranteeing loans on GTs will after the pay-back period yield a mostly 51% participation.
C. Management contracts on GTs at a 5% fee yields a 1,5% annual profit on €600m.
D. Feasibility studies: At 2,5% per GT (€600m) yields a pre-tax profit of 0,9%.
E. Reinvestment of the income above yields a tax-free, exponential capital growth.
The share price of GT Development Ltd will rise from now €1 250 to €16 250, once the investment in GT Ltd with €17m has started, which according to present negotiations is nearby. Similar gains are also expected with the price of GT Ltd shares.
CONCLUSION
● The GT technology is the most thoroughly researched and tested emerging power technology and will be so even more once the pre-feasibility and feasibility studies are completed. The wind tunnel facilities at Bochum University will remove the last vestige of risk of the 1 500m tall chimney flue, thereby making it one of the safest structures ever built.
● The feasibility (= planning) study will give the shareholders ownership in the best and cheapest existing power technology with the potential to produce 70% of the world’s power.
● The feasibility is now already ensured, the studies will finally prove the high return on capital.
● It will protect the GT by a technology package of ± 34 final patents at the end of the FS.
● ± 11 provisional patents will temporarily protect the GT technology at the end of the PFS.
● GT Ltd started out as a technology company but will also become a production company for power, food, water and humus with high profits by taking up equity in GT power stations.
● The GT technology is driven by a most competent team. Members take pride in "their" GT.
● Although the GT technology has powerful competitors trying to keep it out of the market, the looming shortages and price hikes of fossil energy brings this technology strongly to the fore as the most powerful tool to save the world from pollution and economic decline.
● The huge job creation makes the GT a very welcome investment in many countries.
● The GreenTower is a most rewarding investment with high growth potential. As it satisfies basic needs like power, water, food and humus fertilizer sales will always be secured.
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Environmental Impact and Human Health
The Greenhouse Short Executive Summary