December 14 (Renewables Now) - France-based renewable energy producer Total Eren SA said Friday it has reached an agreement over the sale of a 34% stake in its Vientos Los Hercules wind project in Argentina to Japanese conglomerate Mitsui & Co Ltd (TYO:8031).
The Japanese company will acquire the stake in the 97.2-MW wind farm through its subsidiary, MIT Argentina Generation Holding Ltd for an undisclosed price.
The total cost of the wind project, currently under construction, amounts to about USD 220 million (EUR 195m). After entering operation, which is expected to happen in the middle of 2019, the project will have a production capacity of about 400 GWh per year.
The acquisition will help Mitsui to achieve its goal of producing 30% of its energy using renewable resources by 2030, compared to the current 16%.
Founded in 2012, Total Eren has a diversified portfolio of wind, solar and hydroelectric assets with an installed gross capacity of over 1,300 MW in operation or under construction.
French oil and gas giant Total holds a 23% indirect stake in the renewables firm since 2017.
(USD 1 = EUR 0.886)