BNDES extends maturity of Renova's Alto Sertao III loan

Wind park in Brazil. Author: Fotos GOVBA. License: Creative Commons, Attribution 2.0 Generic

July 17 (Renewables Now) - The Brazilian Development Bank (BNDES) has extended by 30 days the maturity date of the BRL-988-million (USD 262.15m/EUR 233.85m) loan it granted to Renova Energia SA (BVMF:RNEW11) for its 743-MW Alto Sertao III wind complex.

The loan, originally due on July 15, now matures on August 15, 2019.

According to a Reuters report from last month, the bank was concerned about the loan because of the uncertainty surrounding the planned sale of the project and its existing off-take contracts.

The project is divided between the 438-MW Phase A and the 305-MW Phase B. It was secured through a reserve auction held back in 2013 and was supposed to be commissioned in 2015. Phase A, however, has been frozen since 2016 at 87% completion.

Brazilian energy firm AES Tiete Energia SA recently showed interest in acquiring the asset plus a 1.1-GW wind project pipeline but national power watchdog Aneel blocked the planned sale of Phase B.

(BRL 1 = USD 0.27/EUR 0.24)

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Lucas is based in Brazil. He joined Renewables Now to expand coverage of the Ibero-American market, a highly attractive destination for green energy investment.

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