Biogas production plant

Note: Sold

Description

Investment Project: Biogas Production Plant in Germany Biogas production plant with 1 cogenerator of 600 kW and 1 Flex cogenerator of 900 kW. Germany Location: Western Germany Land Plot: Included in the cost of the property and will be the buyer's property Project: The project is implemented in the form of GmbH The existing biogas production plant (i.e., cogenerator) was commissioned in May 2010. In 2018, EUR 1.4 million was invested in the modernization of the plant. This investment provided for a complete modernization of the plant and the installation of an additional Flex cogenerator. The investment amount of EUR 1.4 million is included in the total cost of the property. The plant meets the most modern technical requirements and has the potential for expansion and further efficiency improvements. Equipment: The biogas production plant includes: 1 primary fermenter, 1 secondary fermenter (tank for further fermentation), 1 storage for sludge and leftover fermented mass, 4 silo bins Cogenerator 1 - 600 kW, Type MWM TCG 2016 V12C Flex cogenerator - 900 kW, Type GE Jenbacher JMS 412 GS-B.LL The biogas production plant produces biomethane gas, which serves as fuel for cogenerators (BHKW). The cogenerators produce electricity and heat. The electricity is fed into the German power grid and is paid for under the EEG law. These conditions are valid until 2030. The heat is supplied to a well-known metalworking company operating worldwide. The contract term is 10 years. Raw Materials: The raw materials used are cattle manure, pig manure, corn, and grass silage. Long-term contracts are in place with suppliers for the supply of all raw materials. Capacity: 4,993,000 kWh of electricity 1,900,000 kWh of heat Due to the completed modernization and increased capacity of the plant, the projected revenues for 2020 based on the 2019 performance are as follows: Annual income: Approximately EUR 992,800 from electricity sales Approximately EUR 97,600 Flex premium for the cogenerator Approximately EUR 76,800 from heat sales Total annual income: Approximately EUR 1,167,200 before expenses Annual expenses: Approximately EUR 488,400, including raw material costs, disposal costs, and electricity for own needs; approximately EUR 294,900, including maintenance, technical and biological service, all insurance, scheduled repairs, and other expenses Net income: Approximately EUR 383,900 Total Cost: EUR 2,250,000 Profitability: Approximately 17.06% before taxes and depreciation The biogas plant represents a small combined heat and power plant with a biogas engine. The engine drives an electric generator, which in turn produces electricity. Additionally, during engine operation (by cooling and extracting heat from the exhaust gases using a heat exchanger), water is heated, which is used for heating buildings and facilities. Simultaneous production of electricity and heat (cogeneration) allows the cogeneration plant to achieve significant efficiency, ranging from 85% to 95% depending on the technology. Combined heat and power plants of this type are typically located in close proximity to end-users. This eliminates energy losses during transportation, further increasing the profitability of using biogas in such a production and consumption scheme. Combined heat and power plants using biogas are very reliable and durable. This technology has been used in Germany for many years and has proven to be effective. Brief Information on the Sale and Operation of the Plant The biogas plant was manufactured and installed by a major German corporation that has been working on alternative energy projects for many years. After the sale, a specialized biogas plant operation company will take full control of the plant. The plant and all existing long-term contracts (for technical maintenance, raw material supply, heat and electricity sales, insurance, etc.) are owned by a specially organized GmbH. Simultaneously with the notarial purchase, a long-term contract for the management of the biogas plant will be notarized.