Engie closes acquisition of rights to 605-MW wind project in Brazil
Wind park in Brazil. Author: Fotos GOVBA. License: Creative Commons, Attribution 2.0 Generic
Engie Brasil Energia SA, a unit of France’s Engie SA (EPA:ENGI), announced on Friday that it has concluded the acquisition of the rights to the 605-MW Umburanas wind power complex in Bahia state.
Engie Brasil paid BRL 16.9 million (USD 5.2m/EUR 4.3m) to local renewables company Renova Energia SA (BVMF:RNEW11) as part of the agreement.
The company noted that it expects to invest some BEL 1.8 billion in the development of the 360-MW first phase of the project, and would work on the remaining 245 MW in the future. Completion of Phase I is seen in 2019. About 102.5 MW of the project were sold in auction A-5/2014 at the average price of BRL 139.60 per MWh.
The financial settlement was achieved on November 24, when Engie made a BRL-7.5-million payment concerning the first installment of the deal. A month earlier, Brazil's power sector regulator Aneel approved the transfer of rights and cancelled four permits already given to Umburanas.