25th November 2024, Kathmandu
Mountain Energy Limited has announced its investment in the 65 MW Dudhkhola Hydropower Project, located in Manang. The company has signed an investment agreement with Sita Hydro Pvt. Ltd. to take on this ambitious project.
Mountain Energy’s Growth Trajectory
The agreement was signed by Mr. Arun Kumar KC, Director of Mountain Energy Limited, and Mr. Sitaram Timalsina, Chairman of Sita Hydro Pvt. Ltd. This project was first granted a feasibility study license by the Department of Electricity Development in May 2017 (2074 Jestha).
Existing and Upcoming Projects by Mountain Energy
Mountain Energy Limited has already completed and is operating:
42 MW Mistri Khola Hydropower Project, built at a cost of approximately NPR 13.5 crore per MW.
5 MW Tadi Khola Hydropower Project.
Additionally, the company has obtained a production license for the 12 MW Mistri Khola–2 Hydropower Project, marking another milestone in its expansion strategy.
Financial Performance and Shareholder Returns
The company’s strong financial performance demonstrates its stability and growth potential:
Net Profit: NPR 30.53 crore in the first quarter of FY 2081/82.
Paid-up Capital: NPR 2.26 billion.
Retained Earnings: NPR 1.33 billion.
Earnings Per Share (EPS): NPR 53.96 (annualized).
Net Worth Per Share: NPR 158.77.
Mountain Energy Limited has a history of rewarding its shareholders. In FY 2078/79, the company distributed a 10% dividend, followed by a 15% bonus share and 0.7895% cash dividend in FY 2079/80.
Future Outlook
With the agreement to invest in the Dudhkhola Hydropower Project, Mountain Energy is likely to announce rights share issuance to raise additional capital. This expansion is expected to further solidify the company’s position in Nepal’s growing hydropower sector.
For more: Mountain Energy’s Growth Trajectory
