fast growing Indian company operates and develops power plants in India..Cheap at 70p after floating at 60p on 30th May.

been into ths one for a few months now and showing a small profit. Yesterday's news was excellent so plenty of scope for a re-rating imho.

Good luck kernow thought it would be at least 100p by now.

Very good half yearly report. My holding now almost back to breakeven but suggest this is one to tuck away.

a sharp move north today but I've no idea why.

Me neither.

Me neither.

why not try reading their RNS?

Found out it was tipped Saturday.

Superb..!

Thanks Halifax. If I was psychic I would have done - but RNS was 2 hours after I'd posted.
Another good day today and no reason not to enjoy the ride with a trailing stop in place.

I've been acquiring quite a bit of stock here and now I'm done I want to enjoy the ride for the next few years - hopefully!. Great piece of news that was on Gujarat: "OPG Power Ventures plc has signed a Memorandum of Understanding with India's Gujarat state to develop 5,400 MW of generation capacity, of which 1400 MW is to be gas-based. CEO Arvind Gupta saod, 'This is a significant step towards delivering on our commitment to become the provider of choice " Perhaps we can expect further newsflow before too long - this is a huge capacity rise and clearly underpinning the stock.

Even following the recent rise it now looks dirt cheap. I understand that house broker is forecasting Ebitda to exceed gbp 130m and eps to 25p+. This would imply a massive potential to the upside and a multi bagger from the current levels.

From my reseach the State of Gujarat is the wealthiest in India and has a high intensity of industrial companies - companies which are power hungry.

The proposed sites in Gujarat should have huge economies of scale. Not only is the company expanding at a fast rate but to be in power in the 4th largest economy of the world looks irresistable in 2011.

mitzy, can you add 50 and 200d moving averages to the graph please?

from OPG website:

The Government of India has, since 2005 -06, undertaken plans for a major transformation of Indian Infrastructure, including the power sector. The OPG Power Group was established in 2004 with the goal of providing reliable and cost effective power to Industry. In the last few years OPG has consolidated its position as a private producer of power serving industry in the state of Tamil Nadu. OPG is presently implementing plans that, by 2012, will realise for the group close to 500MW of power generation capacity with significant presence in the industrialised state of Gujarat and expanded operations in Tamil Nadu.


So according to the RNS regarding the MoU, OPG have an agreement to build for up to 5400 MW of generation capacity. Am I missing something here or is this figure explosive and far in excess of what we knew about? Yes, given that this will require additional future funding etc etc. What a shame it's not ISAable!

Under the MOU, the Government of Gujarat is to facilitate approvals for the component projects in accordance with applicable rules and policies. Management will now progress its plans to implement the MOU and details of individual projects to be developed shall be announced in due course. In addition to projects foreseen under the MOU the Company currently has projects with an aggregate capacity of 644 MW under operation or development with projects under development (537 MW) to be commissioned in the year 2013. This will bring OPG's total project capacity to over 6000 MW throughout India of which 644 MW is already in generation or under development.

Like the sound of individual projects to be announced in due course.

New plant on the cards, starting to head higher again this week:
OPG Power Ventures plc, the developer and operator of Group Captive and Merchant power stations in India, is pleased to announce the acquisition of a new brownfield site and the expansion of one of the Company's existing units.


Acquisition of property for brownfield construction at Bellary, Karnataka

The Company's cash bid of Rs 64.90 crores (approximately 9.6 Million) for a 120 acre property at Bellary, Karnataka has been accepted.

The property, which is located close to railway lines and accessible by road from the state highway, includes a 12 MW partially constructed thermal power plant and associated infrastructure. The Company currently expects to commission the 12 MW plant by Q3, 2012. In addition, the directors believe that with the necessary land and certain infrastructure already in place, a 250-300 MW power station can be built on this site. The Company has commenced drawing up plans for such a development.


Expansion to 25.4 MW of the gas fired power station in Mayavaram, Tamil Nadu

As a result of increased gas availability from its present suppliers, the Company is increasing production at this site by 6 MW to 25.4 MW. The additional gas supplies will utilize existing supply infrastructure and additional gas engines capable of handling 6 MW additional production have been ordered and are due for delivery in the coming months. Commissioning of the additional capacity is expected to be achieved by June 2011 at a total cost of 2.2 Million which is to be financed from the plant's cashflows and approved debt.


Commenting on the development, Arvind Gupta, Chief Executive said,The acquisition of property at Bellary offers us the scope to build a sizeable thermal power plant as our first initiative in Karnataka which, similar to our other locations, is highly industrialised and growing and therefore presents an excellent opportunity for the Group to pursue its mission to be the supplier of choice of uninterrupted power to Indian industry."


For further information, please visit www.opgpower.com or contact:

A lot of news after the bell including a placing at 5% discount to fund the substantial growth programme. With 107 MW of generation representing the current size of the company and growth estimates of 1250 MW capacity by 2015, that's some change to the company. Just unfortunate that we couldn't get in with a 5% discount as well!

Steady tick higher on the expansion news today and the placing already in place for future growth. I'm considering taking another tranche to tuck away for a few years but already quite overweight

Matrix out with buy rec today, target 124p

Good volume coming through, possibly on the back of the latest buy rec. The December (2010) buy rec from Cenkos Securities has a target price of 240p - that looks well out of date to me following all the recent news and future earnings/price targets should be substantially higher imo. Dirt cheap, dyor.

Back up near the highs. Capacity set to transform this company - considering taking another tranche.

Annual results today and very well received. Plenty of growth in generating capacity in the pipeline, short to medium term. One to tuck away imho.

Anybody following these?

just me it seems.

...which is a shame as up 10% today

Kernow. Well done mate and good posts. I nearly went in but opted for SHFT and GBO instead. I will continue to have these on my watch list and will drop in from time to time.
Riv

Massive power shortages in India - it's an ill wind....

Could be interesting on a break of 65p.

Any thoughts mitzy ?

I'd say a good chance Dil.

Breaking out , I'm in.

Well done Dil.

Next leg up is imminent.

Looks interesting - plenty of (comparative) volume recently.

Prelims were lat Friday , that probably accounts for the volume.

Very nice they were too.

Hmmmm tea leaves never lie ... volume confirmation skinny ?

:-)

Yep !

RSI added to the above chart.

This has been a long time coming, but looks like we're on our way. These numbers should start drawing attention now:

21st November 2013

OPG Power Ventures plc

("OPG" or the "Company")

Unaudited results for the six months ended 30th September 2013

Accelerating Growth

Revenue up 168% to £47.7m - Profit before tax up 204% to £7.64m - Earnings per share up 241%

OPG Power Ventures PLC, the developer and operator of power generation plants in India, announces its unaudited results for the half year ended 30th September 2013.

Highlights

Revenues, profits and earnings per share up significantly

· Revenue up 168% to £47.7m from £17.8m with underlying rupee revenues up 180%;

· Profit before tax up 204% to £7.64m from £2.51m;

· Earnings per share up 241% to 1.5p from 0.4p;

· Revenues of Rs833m and Rs893m in Sep and Oct 2013 respectively, full year revenue of Rs4.8bn in FY13;

· EBITDA of £13.72m up from £4.65m; EBITDA margin of 29% up from 26%; and

· Cash and equivalents of £16.4m; gearing of 43% versus 37% at 31 March 2013.

Strong operational performance

· Chennai I and II achieved average plant load factors ("PLF")of 99% compared with 94% in full year ended 31 March 2013;

· 842m units of power delivered in six months compared with 932m units in full year ended 31 March 2013; and

· 214 MW of capacity being sold to the state utility.

Projects - Gujarat progressing ahead of schedule

· 80 MW Chennai III commissioned in June 2013, ahead of time and within budget, operated at over 90% PLF in Oct 13;

· 160 MW Chennai IV progressing on schedule; and

· 300 MW Gujarat now three months ahead of schedule with successful first hydro test completed.

Commenting on the results, Mr M C Gupta, Chairman said: "The early commissioning of the Chennai III unit during the period under review has brought about another quantum leap in OPG's operations and a trebling of its profitability, despite exceptionally strong currency headwinds during recent months. With the Gujarat project well under way and ahead of schedule, and with Chennai IV on schedule, the Company's scale of operations is set to be transformed yet again next year. OPG continues to deliver profitable growth."

Showing good 15% gain today. This should become a money spinner in due course, particularly with Gujarat ahead of schedule.

Dil - are you still in these?

Yeah I am.

Put the fall down to the Indian Rupee having it's ar*e kicked and couldn't find any other reason to bale out.

Wow what a great share.

Trading Update

Operational Highlights
· Q3 FY14 generation of 518 million units up 8% on Q2 FY14 (Q3 FY13: 301 million units)
· Total year-to-date generation up 129% on nine months ended 31 Dec 2012
· C3 unit fully ramped up; average Plant Load Factor (PLF) achieved across all units of 100% in the quarter (Q2 FY14: 93%)
· Average year-to-date PLF across all units of 96% up from 90% in nine months ended 31 Dec 2012
· Q3 FY14 Underlying Rupee Revenue of Rs 2.67 bn compared with Rs 4.82 bn in full year FY13
· Entered into a 15 year Long Term Variable tariff arrangement with TANGEDCO for C3, providing foreign exchange protection on imported coal
· Full year results expected to meet market expectations

Project Highlights
· 300 MW Gujarat (2x150 MW units) - within budget and on track for commissioning by Sep 2014
· 160 MW Chennai IV - within budget and on track for commissioning by Dec 2014

Been holding for years and finally starting to come good. Lots of cash generation ahead

Shore Capital and Cenkos out with buy recs today. Not sure of tp

After several years, the fun times are now coming. Lots of capacity coming onstream and all on time, no mean feat for the company.

Break out..

Very good full page article in today's Shares mag

Move north today :-)

Great numbers and not far away from 3 digits now. Continues to perform and meet targets.

Excellent results published yesterday - followed by a BUY tip from Questor in the Daily Telegraph suggesting a possible doubling of the share price.


Capacity projection

Cant agree more.

Bought years back expecting a doubling, but think it will happen from here.

Nice to see the first trades at 100p for a few years! Onwards and upwards.

The Indian election outcome seems like the better result for stocks imo. See we had 3 buy recs yesterday:

Investec tp 140p
Jefferies tp 120p
Shore Capital buy, no tp that I see.

Buy rec article in Friday's Investors Chronicle.

Good update today, all on track and not so long before larger Gujarat (300MW) comes onstream - then the earning should really start flowing. Plenty of scope to double in my opinion.

Another strong trading update. Set to go higher. I particularly like the 300MW Gujarat is complete and trials starting in the next quarter. This should add significantly to future profit.

Yep. Lookin good. One of my biiggest holdings. Everything falling nicely into place politically too.

With interim results due a fortnight from today, a reminder of what the company told us in August, including specific references to the quarter we are in and to November in particular:


"...300MW Gujarat - both 150MW units - equipment assembly complete, testing ongoing, commissioning trials can commence in the next quarter - transmission lines in progress
The construction of Gujarat's Unit A (150 MW) and Unit B (150 MW) has been completed and with equipment testing now ongoing, commissioning trials for Unit A are expected to commence in November 2014 and Unit B to follow thereafter by December 2014.

Gujarat Energy Transmission Corporation Limited ("GETCO") is constructing a new multi circuit transmission line to facilitate evacuation of power from both units and have now informed us that the line is expected to be completed by March 2015. We are assisting them with certain construction activities on the line. In the meantime GETCO have told us they are making available to us an alternative double circuit transmission line, the construction of which is already nearing completion. Accordingly, with our plant now ready to move into commissioning trials as scheduled, we are intending to perform a phased commencement of commercial operations from November 2014 as GETCO progressively make the required transmission infrastructure available to us.

180MW Chennai IV - hydraulic testing completed and early phase of equipment trials started
Hydraulic testing of this new unit was successfully completed in June 2014 and assembly of the turbine and generator is underway. OPG has now moved into the first phase of equipment trials and commissioning trials are expected to commence by November 2014. Chennai IV shares significant infrastructure with the other units at the same location and power sales are expected to be similarly mixed between the state and industrial and commercial customers on flexible or short term arrangements.

Outlook
Following the election of a new Government, the Indian macro environment appears to have accelerated towards a recovery phase. In its first few weeks, the new Government seems to have put the importance of the power sector beyond doubt in terms of it being a basic need for all citizens but also for its importance in re-establishing economic growth. Early signs of some positive momentum to make the sector more attractive for investment have come through in the recent Budget. Accordingly, the long term commercial dynamics of the sector remain attractive.

As can be observed from our activities during the quarter, OPG has remained focused on maximising its existing operations and upon delivering on the current project portfolio of 480MW to nearly treble the size of the Group's operating platform. These activities, as well as planning for the next growth phase, continue apace and current trading continues to be in line with expectations..."

Sharescope indicates the AGM is on Monday.

The 2015 calendar on the OPG website indicates that a trading update will be issued in February. After today there are only 4 days left.

Summat happening on Saturday:



Guj CM inaugurates OPG Power Ltd’s thermal power plant, Mundra, Kutch
Date : 2015-02-24
Date(s): - 28/02/2015
Time: 3:30 pm - 5:00 pm


Saturday event

Maybe worth showing this again. The dark grey block is the one being featured on Saturday:

Thanks for the heads up. Have been holding for a while.

Here we go:

Article link

Ahmedabad: OPGS Power Gujarat Pvt. Ltd, a subsidiary of UK-based OPG Power Ventures Plc, will commission its 300 MW coal-fired power plant on Saturday at Bhadreswar in Kutch district of Gujarat, managing director and chief executive officer Arvind Gupta said in a press conference on Thursday. Work on the project, located in a special economic zone developed by the Adani group in Mundra, started three years ago and around 300 acre land was acquired from private owners in Kutch.


PS: Somebody bought 50,000 shares at 4:45pm today.
Article timed 5:15pm UK time (presumably press conference finished before that)

Press images from yesterday's event -

So Gujarat is now up and running and the share price has barely reacted. Looks dirt cheap to me as revenue could double next year.

Cantor Fitzgerald Buy 85.25 85.25 - 130.00 Initiates/Starts

Nice spot skinny!

Saudi money heading for India. Presumably other such funds that follow will include stakes in electricity supply and other key infrastructure areas..

Saudi Gazette

From this morning's Results statement:

Mr M C Gupta, Chairman stated: "The team at OPG have achieved much over the last five years and have delivered compound earnings growth of over 40% per annum over the last three years. OPG is now set to achieve a new dimension as we start to generate cash flows from a significantly expanded, multi-locational asset base. I'm confident that we will set out on the dividend path following the successful and sustainable operation of this new capacity and am also excited by management's pursuit of continued profitable growth. This Company now represents scale, robustness and growth."

BEST AIM COMPANY AWARDS 2015


Shortlisted for
INTERNATIONAL COMPANY OF THE YEAR


• Fusionex International (FXI)

• Hutchison China Meditech (HCM)

• OPG Power Ventures (OPG)

• Somero Enterprises (SOM)

US-based concrete levelling machinery supplier Somero Enterprises Inc and Indian power producer OPG Power Ventures were on the shortlist last year and both have made further progress since then. Somero continues to grow its profit and revenues internationally and this looks set to continue. OPG's revenues were flat last year, but additional capacity means that generation output has grown by one-third in the three months to June 2015 compared with one year earlier but the tariff price has fallen by around 5%.

BEST GUESS: Somero

Another good set of results and all going to plan, quite remarkable their achievements. Now as stated above, the cash is really going to start to have an impact. Continue to think this is way undervalued with P/E estimate for 2016 somewhere around 12.

Good trading update with substantial increases in volume. Not long before the additional is onstream too in January. Surely way undervalued, but share price stubbornly not reflecting the big increases in revenue and eps expected in 2016.

Cantor reiterating buy, tp 134p

Better start to today on top of yesterday's 9% rise.

"..UK listed OPG Power Ventures plc will add to its existing investment in India by £2.9 billion to a total of £3.4 billion, creating around 100 UK jobs over next few years. The investment will create 4200 MW of new power capacity in India, of which 1000 MW will be solar power and 3200 MW will be thermal and renewable power in Tamil Nadu.."

source: indianexpress.com

As usual in such announcements, most of the list is merely a pulling together of information already known. But nice to see OPG at the top of the list. The figures are ridiculously overstated - need taking with a gigantic bucketful of salt! - but will nevertheless prompt interest in OPG worldwide.

IC today:

Shares in Indian energy generators OPG Power Ventures (OPG) and Mytrah Energy (MYT) have fallen significantly in the past six months, despite the country's persistent chasm between supply and demand. Wind power generator Mytrah recently said it had suffered this year as a result of a less windy start to the monsoon season, leading to analysts downgrading full-year expectations.

Shares in Mytrah have fallen by a quarter in the past 12 months, while returns on an absolute-return basis are down 82 per cent in the past three years. This is despite poor energy infrastructure resulting in a chronic shortage of power in India. The International Energy Agency has estimated that Indian primary energy demand would more than double between 2013 and 2030 to more than 1,426m tonnes of oil equivalent (Mtoe).

Mytrah has built nine turbines so far this year, adding 50.2 gigawatts (GW) of power. This brings overall capacity to 578 megawatts (MW). Management expects to enter the 2016 windy season with 743MW of capacity. However, it has come up against one of the main risks of renewable energy this year - the unpredictability of the weather. Analysts at Investec Securities downgraded their forecasts for this year's cash profits by more than a quarter to €67m (£47m).

While shares in OPG Power Ventures have fallen back over the past year, the electricity provider has generated an 82 per cent increase in returns on a total return basis. In October, its Chennai plant entered into three-year, agreed volume contracts directly with industrial customers for 257MW of capacity. Industrial contracts - which are longer than the nationwide average - now represent 62 per cent of sales for this plant.

While the Indian government has submitted proposals to tackle climate change rather than cut emissions in absolute terms, it has opted to cut emissions intensity - the amount of carbon pollution per unit of gross domestic product - by around a third by 2030 from 2005 levels. This means coal will continue to play an important part in India's energy mix and so be beneficial for OPG.

IC VIEW:
Mytrah's heavy debt - $519m (£341m) compared with a market cap of £125 at the end of June - is a concern and the shares are on 45 times Bloomberg consensus earnings. This makes us more bullish on OPG, whose 750MW target capacity is expected to be profitable by January next year, albeit four months later than chief financial officer V Narayan Swami told us in June. Its 11 times Bloomberg consensus earnings price tag makes it a buy.

and IC's view today a week later:


Investors Chronicle today:

HAS EM POWER LOST ITS SPARK?

Sector Focus

It's well known that many emerging market economies are held back by perpetual energy deficits. So it's little wonder that western companies have been rushing in to fill the gap. Whether it is conventional electricity generation in India, or the provision of temporary power sources in parts of the Middle East and Africa, there are UK-listed companies with an interest. With intertwined structural levers linked to population growth and rapid industrialisation, it's easy to appreciate the investment case - but it is far from clear whether selling power in these markets is a sure-fire way to generate regular returns.

The performance of UK power providers has been hit by geopolitical volatility, in addition to a marked contraction in economic growth in several emerging market countries. So it would be justifiable to ask whether the opportunities on offer still outweigh the potential pitfalls.

Black is the new black

India seems the obvious place to start. Prime Minister Narendra Modi has targeted uninterrupted power supply to all of India's 1.3bn population by 2019. Coal will play a big part in achieving this. What's more, Mr Modi is looking to increase private participation in the sector. Coal India currently accounts for around 80 per cent of coal production in the country and is 80 per cent owned by the government. However, authorities in Delhi recently approved the sale of a 10 per cent stake in the state-controlled entity, potentially generating $3.2bn (£2.1bn) for government coffers. Things have not been running smoothly at Coal India, with bulk production of the black stuff failing to keep pace with nationwide demand. The country's industries are reliant on imports, which now account for 18 per cent of total electricity generation - hardly an ideal scenario for a nascent economic superpower.

Operating against this backdrop is electricity generator OPG Power Ventures (OPG). OPG operates coal-fired plants in Chennai and Gujarat, which currently have a combined capacity of 600 megawatts (MW). By January 2016, management expects this to increase to 750MW. The UK group's capacity expansion has been impressive; increasing year-on-year generation by more than 50 per cent at its half-year mark. Industrial customers now make up 62 per cent of its total sales, but what makes OPG different to many other coal-fired power generators in India is that its fuel mix is split around 70/30 between Indonesian and Indian coal. This means it has been less affected by domestic coal shortages in India.


Mytrah's leveraged play on a green India

Although carbon predominates, renewable energy still has an important part to play in India's growth story. In its union budget for 2015-16 the Indian government set a target to install 60 gigawatts (GW) of wind power capacity and 100GW of solar power capacity by 2022 - more than six times the current installed capacities of around 22GW and 3GW, respectively.

Following the sale of Greenko (GKO) to the Singapore government earlier this month, the remaining UK-listed company in the Indian green energy space is Mytrah Energy (MYT). The wind power provider has been steadily building up its capacity, which now stands at 578MW, with plans to reach 743MW of capacity by the time the 2016 windy season comes around. But this rapid expansion has come at a price. Net debt stands at an unwieldy $519m. It was up a fifth during the first half of Mytrah's financial year, effectively tipping the company into negative earnings. Although Mytrah's high degree of leverage is hardly helping the shares re-rate, it could eventually translate into strong earnings growth, assuming capital has been allocated wisely.


Rapid capital expansion and risk profiles

"There is an element of risk with all these companies because they're developing quite quickly," says Cantor Fitzgerald analyst Adam Forsyth. "That sometimes holds back profitability because a lot of the time cash is being put into new products." However, this is absolutely what renewable energy companies should be doing, he adds. Of course, it is also important to note that both OPG and Mytrah should reap the rewards of this investment and throw off a lot of cash once their assets are fully operational - but investors may require patience.

Shares in both OPG and Mytrah have suffered, with the latter falling by 40 per cent over the past six months. This may have something to do with investor sentiment towards emerging markets, which has soured on continued US dollar strength. Yet it is worth remembering that India's GDP is forecast to grow 7.7 per cent in 2015, compared with Chinese forecast growth of 6.9 per cent.

Plugging the gap

With the intensified strain on power transmission in some emerging economies, a number of temporary power providers are now selling energy straight into national grids. Aggreko (AGK) is the most prominent UK-listed company in this field. Recent contract wins included the provision of 95MW of natural gas generation to Myanmar during the drier summer months, since around 70 per cent of the country's energy supply comes via hydropower. Contracts can also last several years, providing enhanced revenue visibility. For example, Aggreko first set up its gas-fired generation plant in the Ivory Coast in 2010, initially producing around 70MW. That has subsequently been stepped up to 200MW and Aggreko recently had its contract extended by another three years.


Geopolitics and other power plays

Geopolitical turmoil in Libya and Yemen has derailed operations for many western companies, including Aggreko and APR Energy (APR). The disruption was particularly acute for APR Energy. After failing to ratify its contracts with the Libyan government, APR was forced to withdraw its assets from the country. Management followed a similar course of action in Yemen earlier this year, due to ongoing security concerns.

While events have been out of the company's hands, the financial consequences have been dire. The company has so far booked a combined total of almost $775m in non-cash impairments and asset writedowns. In June, management announced that long contract lead times and delays to contract negotiations would also dampen profits for the current year. However, there may be light at the end of the tunnel for investors. APR is currently in discussions with a consortium, which includes Albright Capital Management - a private equity group led by former US Secretary of State Madeleine Albright - over a possible takeover. This has triggered a slight resurgence in the shares.


Favourites: Despite the country's environmental targets, coal will remain a big part of India's energy mix for the foreseeable future. Increasing the proportion of industrial customers to its Chennai plant, means OPG will have greater revenue visibility. In its most recent trading update, management said the price of imported coal was 11 per cent lower during the first half, compared with last year. What's more, at the time of the group's 2015 results in June, chief executive V Narayan Swami told us that OPG intends to begin paying a dividend at the 2017 financial year-end. The shares are trading on just 11 times Bloomberg consensus earnings. Considering the growth potential and India's high demand for power, we think this represents value. Buy.

Outsiders: Aggreko has endured torrid trading conditions, with a share price down 39 per cent on our February sell tip. While the group has obviously faced some difficulties as a result of its operations in Yemen, the power provider's problems aren't restricted to security issues. A slowdown in oil and gas markets has been the main factor hampering performance. Management is guiding towards full-year pre-tax profit of between £250m and £270m, compared with £289m in 2014. The shares are trading on 14 times forward earnings. And although management has restructured the group and plans to find £80m in cost savings by 2017, we think recovery will not arrive any time soon. Sell.

IC VIEW: As GDP growth depends on securing enough energy to power the industrialisation taking place within many emerging markets, the demand for services offered by Mytrah, OPG et al is undoubtedly there. So while the jury is still out as to when the temporary power providers will be able to overcome their current end-market troubles, investments within this sector, certainly for OPG and Mytrah, should be seen as long-term - there's no quick power fix.


Broker's view

Aggreko's recent third-quarter (Q3) results offered a positive message, with underlying revenue growth for the second half of 2015 expected to be -2 per cent, compared with -7 per cent in Q3 2015. The acceleration in Q4 can be explained by a couple of one-offs. Full-year pre-tax profit is now expected to be at the bottom of the £250m-£270m range; however this is above company-provided consensus of £249.1m. Despite the incrementally positive message on the full year, the market remains challenging. We remain neutral, with the relatively attractive valuation - 14.4 times 2016 earnings - offset by the strong competition and weaker emerging market outlook.

While we believe there is a large structural growth opportunity in the provision of temporary power, particularly in emerging markets, which lack the necessary infrastructure to meet a growing demand for electricity, we remain cautious on Aggreko in the short term. The reduced volumes in commodities remain a drag.

We base our target price on a discounted cash flow (DCF) methodology, using a weighted average cost of capital (WACC) of 8 per cent and a terminal growth rate of 2 per cent from 2023. We have reduced our DCF-based price target by 12 per cent to 1,150p to reflect changes to our estimates. Upside risks include stronger local business performance if the macroeconomic environment improves; an acceleration in the pace of contract wins in power projects, which would make our growth assumptions too low; and finally the announcement of further capital returns. Downside risks include a deterioration in macroeconomic conditions, particularly emerging market growth, which could lead to lower demand for temporary power in both local and power projects; a more competitive market, especially given the current weak markets and a loss of a major power projects contract.

Robert Plant is an analyst at JPMorgan Cazenove
visible-status-Standard story-url-emerging market power sector socus 241115.xml

By Emma Powell,
27 November 2015
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Mark Slater has been buying OPG shares..

"..The stock he has been buying more of recently is OPG Power Ventures, a £225 million market cap company that is primarily focused on running power plants in India. The company made a profit of £21.65 million in the year to the end of March 2015, on a turnover of just less than £100 million.

Slater commented, ‘this is a stock that has been hit because of negativity towards emerging markets and coal, but we don’t think it is justified. It is a company that is delivering on expectations, it is doing what it should be doing.’

(What Investment magazine today)


full article link

OPG among winners in two tenders for solar power projects:

http://economictimes.indiatimes.com/industry/energy/power/low-radiation-pushes-up-tariffs-in-jharkhand-solar-project-auction/articleshow/51458916.cms


".. The biggest winner of the auction conducted by the Jharkhand government was ReNew Solar Power, which was awarded rights to set up 522 MW of projects. Other major winners were Suzlon Energy (175 MW), SunEdison Solar Power (150 MW), OPG Power Generation (124 MW), ACME Solar Holding (75 MW) and Adani Green Power (50 MW)... "

also;

http://indiapowertrading.info/indian-developers-score-big-1-2-gw-karnataka-solar-power-tender/


Indian developers score big in 1.2 GW Karnataka solar power tender
Posted on March 8, 2016


Hero Future Energies, part of the Hero Group, won 180 MW capacity at the lowest bid of Rs 4.69/kWh. The company secured projects with tariffs of up to 4.86/kWh. When compared to the latest data complied by the Ministry of New and Renewable Energy, this tariff is the second-lowest tariff every quoted in India. In January this year, a subsidiary of Finland-based Fortum won 70 MW solar power project in Rajasthan through a tender launched by NTPC. The company quoted record-low tariff of Rs 4.34/kWh.

ReNew Power Ventures also secured 180 MW under the Karnataka solar power tender with bids between Rs 4.76/kWh and Rs 5.05/kWh. Some of the other major project developers that won projects under the tender include Essel Green (65 MW), OPG Power (62 MW), and Mytrah Energy (45 MW). The highest successful bid placed under the tender was Rs 5.81/kWh.

Anyone still left in here ?

Announced dividend policy with full year results and look cheap as chips to me.

still in but India and coal fired generation will keep this depressed I feel.

Bought some @ 26p a few days ago. Looks promising medium to long term.