Convertible Notes Granite Power Ltd

OnMarket | Granite Power Ltd

Fixed Priced Restricted OfferType of Offer
27 May 19Offer Open
28 Jun 19Pay By
$10,000.00Price
Up to A$500,000Size of Offer
$10,000 Minimum Investment
Balfour & AssociatesLead Manager

Converting Note

This Converting Note offer is only open to Professional, Sophisticated and Experienced investors.  More information on how to qualify here.

OnMarket has a limited allocation.  Minimum application size of $10,000 (see Key Terms). The Company reserves the right to close the Offer early.  

Update: Granite Power have recently put in place an MOU with a steel mill based in the Western Pacific, with a number of prospective waste heat to power projects

Introduction

Granite Power Limited is an Australian clean energy company that has developed proprietary solutions for converting low temperature heat to electricity.

The company is commercialising GRANEX® using a Build Own Operate and Transfer (BOOT)-like model, where the customer identifies a heat source, which is then assessed by GPL for technical and commercial viability. If the assessment is favourable, the company negotiates a long-term Power Purchase Agreement (PPA) with the customer.  The PPA electricity offtake payments fund operating costs, depreciation of capital equipment, and a return on the capital invested and the company delivers and commissions an installed GRANEX® plant against that PPA. GRANEX® modules are rapidly installed with no cost to the customer.

Problem

The majority of industrial processes and transportation systems worldwide use fossil fuel as the primary energy source. These processes intrinsically create large amounts of waste heat which is normally lost to the atmosphere.

Recovery of this waste heat to provide electricity is gaining increased global attention, spurred by high prices of both grid power and hydrocarbon fuels, and by the growing imperative to reduce global CO2 emissions. Such electricity does not involve additional emissions and is therefore considered “clean” energy.

Converting low temperature waste heat to electricity

The usual means of converting such low temperature heat to electricity is through the Organic Rankine Cycle (ORC).  Granite Power has developed important refinements to ORC, called GRANEX®, which at little added cost significantly improve the electrical power recovered and hence project yields and paybacks. In real-world installations, the yield improvement is often 15% and can be as high as 30%.  GRANEX® greatly improves upon ORC by using working fluids operating in their supercritical phase.

Following construction and operation of a series of pilot and demonstration plants at lab scale, 35kW and 170kW, Granite Power has readied a commercial GRANEX® module that recovers about 860kW (720-740kW net of auxiliary loads) in a 40-foot container package. Modules can be rapidly deployed into a variety of end-use applications. Plants are autonomous with no onsite staff required and have low maintenance costs.

Business Strategy

Granite Power Limited’s business is finding, developing and operating waste heat and geothermal generation projects globally. In the last 6-9 months, GPL has found that the UK and EU are becoming highly favourable for the deployment of GRANEX® technology. GPL has already secured some UK grant funding for the installation of its existing 35kW demonstration plant at Tata Steel in Wales and the identification of further demonstration/prototype sites.

Granite Power Ltd’s strategy is as follows:

  • Install GRANEX® unit on customer's existing site
  • Generate electricity from heat. 
  • Sell discounted power via long term utility style PPA agreement
  • Customers only pay for delivered power, no upfront capital
  • Granite Power recovers plant cost + commercial margin

Management team

  • Prof. Michael Dureau– Non-Executive Director/Chairman, currently Deputy Chairman of the Warren Centre for Advanced Engineering Ltd and is the immediate Past President of the Electrical & Information Engineering Foundation both at Sydney University. Previous senior management roles in Australia included Managing Director of ABB Power Generation and Alstom Power.
  • Stephen de Belle – Managing Director, strong track record in business start-up activities, particularly regarding listed companies, including various power and other infrastructure projects. Previous roles include: Managing Director, Midwest Corporation Ltd; Chairman, Australian Superannuation Nominees Ltd; Director of Xylogy Pty Ltd.
  • David Tanner - Lead Engineer, with 30 years’ experience in design and engineering management of Industrial Power Plants in Australia and SE Asia. Following international work at Babcock, David held design and engineering management positions at ABB, ALSTOM and AE&E, responsible for the engineering of numerous boiler and turnkey steam plants in the 10-150 MW range.

Offer Summary

The offer is a private placement seeking to raise up to $500,000 by issuing convertible notes.

Table 1: Key Offer Stats

 

Following the completion of the OnMarket application process (for the Unsecured Convertible Notes), we will require you to complete and sign the Converting Note Deed and return the scanned copy to OnMarket at support@onmarket.com.au, and the hard copy to:

OnMarket BookBuilds Pty Ltd
Level 31
200 Barangaroo Ave
Sydney NSW 2000

 

 

Section 734(6) disclosure: The issuer of the securities is Granite Power Limited ABN 90 112 714 440. The securities to be issued are unsecured convertible notes. The disclosure document for the offer can be obtained by clicking on the link above. The offers of the securities are made in, or accompanied by, a copy of the disclosure document. Investors should consider the disclosure document in deciding whether to acquire the securities. Anyone who wants to acquire the securities will need to complete the application form that will be in or will accompany the disclosure document (which can be done via the electronic application form which will become available by clicking the bid button above)

 

.

Discover investment opportunities here

Tap 'More Info' to get access to free research, all company releases, and invest instantly for shares.


IPO Live

Aust. Nutrition & Sports Ltd ASX: AN1

Aust. Nutrition & Sports Ltd
Developing, sourcing and branding high quality Australian made nutrition products in Asian markets

 

Australian Nutrition & Sports Ltd (ASX: AN1) is focussed on the development, branding and distribution of its own high-quality milk formula, health and wellness products for sale in Australia, China, Hong Kong, with plans to expand into further Asian markets. Currently focused on infant and adult milk formula products, protein-based health and wellness nutritional supplements, with distribution through ~350 pharmacies in Hong Kong and Macau. Expansion into the Chinese market is supported by production via approved Australian manufacturers. Revenues for 1H2019 were $349k, an 84% increase on FY2018 full year sales of $419k.    

$0.20Price
$6 millionSize of Offer
12 Mar 19Offer Open
21 Jun 19Pay By
IPO Live

NZ Coastal Seafoods Ltd ASX: NZS

NZ Coastal Seafoods Ltd
Profitable NZ seafood business, selling premium products with perceived health benefits to Asian consumers

 

New Zealand Coastal Seafoods Limited (pending code ASX: NZS) is a processor, distributor and exporter of premium seafood products. NZCS’ products are sold, directly and through distributors, to customers, restaurants, seafood traders, supermarkets and other retailers in New Zealand, Australia and Asia. These products are generally targeted at Asian populations who value the perceived health and beauty benefits of collagen-rich ling maw and New Zealand’s ‘clean & green’ reputation relative to the Asian-processed products. Revenues for the 9 months to 31 Dec 2018 were NZ$1.53 million, up from NZ$1.18m for year ending 31 March 2018.

$0.025Price
A$5m - A$6mSize of Offer
30 May 19Offer Open
28 Jun 19Pay By
IPO Live

Trigg Mining Ltd ASX: TMG

Trigg Mining Ltd
Explorer for sulphate of potash, a fertiliser for food production and human nutrition

 

Trigg Mining Limited (ASX: TMG) is a mineral exploration company focussed on developing a sustainable sulphate of potash (SOP) mine in WA. SOP is an essential fertiliser needed for global food production of high value crops and human nutrition, where it can assist in the prevention of stroke and heart disease. Early exploration work has established a JORC compliant target representing ~15% of the total tenure. The company will have an enterprise value of A$7.1 million at listing. Investors will receive 1 free attaching option for every 2 shares subscribed. 

$0.20Price
A$4.5 millionSize of Offer
16 May 19Offer Open
12 Jul 19Pay By