Three banks give USD 209m for 300-MW Mexican solar project

Solar park in Mexico. Author: Presidencia de la Rep├║blica Mexicana. License: Creative Commons, Attribution 2.0 Generic.

March 5 (Renewables Now) - Germany’s KfW IPEX-Bank, Dutch ING Bank NV and Mexican development bank Bancomextis are extending a USD-209-million (EUR 169.7m) loan for a 300-MW solar park in San Luis Potosi, Mexico.

The financing will go for the Potosi photovoltaic (PV) complex proposed by Spanish solar developer Fotowatio Renewable Ventures (FRV), KfW said on Thursday. Each of the three lenders is extending one third of the overall amount.

FRV in January said it was preparing to start construction of the solar park as it had secured financing.

To be located in the city of Zacatecas, the 300-MW solar park is expected to be up and ready to run at the end of this year. Once operational, it will be generating 880,000 MWh of electricity annually. State-owned Mexican utility Comison Federal de Electricidad (CFE) will buy the output of the park under a long-term power purchase agreement (PPA).

The park will be constructed by Spain’s TSK Group with inverters supplied by Spanish firm Ingeteam SA and tracking systems by Madrid-based Gonvarri Steel Services. The capacity of the plant in direct current (DC) is 342 MW.

The implementation of the scheme aligns with Mexico’s efforts to cover 35% of its total power consumption with renewables by 2024 and 50% by 2050. It is the first Mexican project of Saudi Arabian conglomerate Abdul Latif Jameel Group, the owner of FRV.

(USD 1.0 = EUR 0.812)

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