Reservoir Capital gives up on building hydro power plants on the Lim after 10 years

The Canadian company Reservoir Capital has decided to leave the project of the construction of two hydro power plants Brodarevo 1 and Brodarevo 2, on the Lim in southwestern Serbia, with the planned power of 59 MW.

The decision was reached after ten years of work on the project worth EUR 150 million.

Reservoir Capital announced that its Serbian branch, Renewable Energy Ventures (REV), had filed a request for the initiation of bankruptcy proceedings at the Commercial Court of Belgrade, in line with the decision for the company to stop working and to carry out the liquidation of its property.

As said, the company reached the decision in order to venture into new project in the hydro power sector.

– Reservoir has chosen to set aside its project aspirations in Serbia, which included the Brodarevo hydro project, with this filing. Our plan is to shift from long lead-time and risky greenfield project development to clean power investments in good operating condition is intended to enhance shareholder returns over the long term. – said CEO Lewis Reford.

The Canadian company started developing this project in 2008. Throughout the said period, the company was criticized by local activists and non-governmental organizations opposing the project due to environmental risks.

In July 2017, the Administrative Court of Serbia overruled the decision on the scope and the contents of the environmental impact study concerning hydro power plants on the Lim. The Government of Montenegro also initiated the question of cross-border influence of these power plants.

The state issued energy and location permits for Brodarevo 1 and Brodarevo 2 on the Lim, close to Brodarevo and Prijepolje, to the company. These permits are a very important part of the procedure of raising a power plant.

REV doo Beograd

Reservoir Capital Corp Vancouver

Privredni sud u Beogradu

Renewable Energy Ventures

REV Belgrade

construction of hydro power plant Brodarevo

hydro power plant Brodarevo

hydro power plants on the Lim

Renewable Energy Ventures bankruptcy proceedings

REV Belgrade bankruptcy proceedings

Brodarevo hydro project

Lewis Reford

the river Lim