Operating Model:

ROARR Energy™ intends to create a Special Purpose Vehicle (SPV) for each project in its pipeline. This structure has the following benefits:

Risk Isolation: By segregating assets and liabilities, SPVs can limit financial risk to the parent company.

Flexibility in Financing: SPVs provide a mechanism to secure financing that might not be available to the parent company, particularly for large-scale projects or securitisation of assets.

• Tax Efficiency: In some cases, SPVs can be structured to achieve tax efficiency.
• Ensuring Commitment: Equity in an SPV would assist in continuous commitment from key stakeholders for the project’s duration.
• BEE compliance: Using an SPV structure would allow compliance with specific BEE requirements for the project.

As the diagram above illustrates, ROARR Energy™ would have a continued role in each created SPV. The significant sources of revenue for ROARR Energy™ would be:

• Return from its equity stake in the SPVs
• Operating contracts for the SPVs in which ROARR Energy™ would supply the professional services, Manpower and supporting services such as quality assurance labs.
• The marketing and distribution of the products being produced.
• Waste Management consultation services where ROARR Energy™ assists 3rdparties in solving their waste management challenges. 
• Project Establishment fees where the costs associated with establishing an SPV are recovered.