Spanish companies Sener Group and Acciona SA (BME:ANA) said today they have started construction of the 100-MW Kathu concentrating solar power (CSP) plant in Northern Cape, South Africa.
Acciona is leading the consortium that won the turnkey engineering, construction and commissioning contract. Sener is supplying the main technology, including its parabolic troughs.
The power plant will be equipped with a molten salt storage system allowing for 4.5 hours of thermal energy storage. Commercial operation is set to begin in 2018.
The project, worth over EUR 500 million (USD 542.5m), is 48.5%-owned by French utility Engie (EPA:ENGI). South African investors SIOC Community Development Trust, Investec Bank, Lereko Metier and Public Investment Corp hold the rest.
Engie earlier this month announced it has signed a long-term power purchase agreement (PPA) for the project with state-owned power utility Eskom.
The project is financed with a combination of debt and equity, with debt being funded by a group of local banks -- Rand Merchant Bank, Nedbank Capital, ABSA Capital, Investec and the Development Bank of South Africa.
Sener and Acciona also helped build the 50-MW Bokpoort CSP plant in the same South African province.