January 16 (Renewables Now) - Brazilian mining company Vale SA (BVMF:VALE3) has signed a long-term energy supply agreement with local wind developer Casa dos Ventos that is tied to a 151.2-MW wind farm.
The electricity will come from the Folha Larga Sul wind farm, located in Campo Formoso, Bahia state. The facility is being developed by Casa dos Ventos and is expected to begin commercial operation by the first half of 2020.
In addition to buying the wind power for a period of 23 years, Vale also has an option to acquire the asset in the future, the company announced on Tuesday. The value of the agreement was not made public by Vale.
This agreement represents another step taken by the company to fulfil its 2030 strategy of having renewable sources accounting for all of its electricity usage in Brazil, Vale stated in its press release.