The company has been appointed asthe main contractor for the construction works in the project, with an expectedscope of approximately $ 300 million. Electra is also involved in the Gilboa pumpedstorage project, and in the past, it also held holdings in the rights to the ManaraCliff Project, which it had to sell following the Antitrust Commissioner'sdemand.
Aviv Levy 11/1/2018
The Electra contracting company announcedtoday that it has been appointed as the main contractor for the constructionworks of the Manara Cliff pumped storage project, which is controlled by Ellomay,a green energy company.
In this framework, the companywill carry out projects with an expected scope of $ 300 million (about NIS 1.05billion). Electra noted that the conclusion of the contract between thecompanies "is subject to agreement on a number of commercial issues, aswell as to the financial closing of the licensee, which is expected to takeplace during the first quarter of 2019."
Electra has been involved in the pumpedstorage industry in Israel for many years and is a partner in a project basedon similar technology in the Gilboa. In the past, it also held rights in theManara Cliff project, which it had to sell following the AntitrustCommissioner's demand. The project's production capacity in the Northern partof Israel is expected to be 156 megawatts per hour, and its total investment isestimated at about NIS 1.3 billion.
Pumped storage technology isbased on elevation differences, with water descending from the upper reservoirto the bottom reservoir, while operating turbines that produce electricity. Theupper Manara reservoir is planned to be located near Kibbutz Manara, and thelower water reservoir, based on an existing reservoir, is located south ofKiryat Shmona. As far as known, the project has already undergone a bindingsurvey of the IEC, which includes its commitment to connect the project, andafter its establishment, the partnership is expected to receive a fixed annualpayment, plus additional sums for exploiting the availability of electricityproduced by the project.
The Manara Pumped StorageProject
About 1 Billion Shekel
Electra’s Expected Scope ofWorks
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About 1.3 Billion Shekel
The Estimated Total Scope ofInvestments in the Project
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Alex Rabinovich enters into apartnership with Ellomay
In recent weeks, the biomedinvestor, Alex Rabinovitch, has entered into a partnership in the project,after he has signed, via JFC Green Fields, a shell company, a partnershipagreement with the private company Erez Electricity, which indirectly holdsabout 8% of the rights therein. The entry of Green Fields into a partnership inthe Manara Cliff project revealed the existence of advanced negotiationsbetween Ellomay, which holds the main rights in the project, and ErezElectricity, which indicates that the parties will reach a compromise thatcould increase the stake of Erez in the project by a few percentages, insteadof payment it demanded in consideration of its involvement therein.