French renewable power producer Voltalia SA (EPA:VLTSA) has secured two long-term off-take contracts for the 70-MW Vila Alagoas wind farm it plans to build in the Brazilian state of Rio Grande do Norte.
The 63-MW portion of the wind farm’s capacity is backed by a corporate power purchase agreement (PPA) with an unnamed client for a period of ten years. Voltalia said Monday the off-taker will make a separate announcement of the contract in the coming days.
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The output from the remaining 7 MW of capacity will be sold to local power distribution companies under a 20-year contract. Voltalia was awarded this contract in the June 28 auction organised by Brazilian power regulator ANEEL.
The Vila Alagoas wind farm is expected to become operational sometime during the first half of 2022, while the two contracts will come into force at the end of December 2022. In the meantime, Voltalia will sell the wind farm’s power on the free market under short-term contracts.
The French company will build the Vila Alagoas project in its Serra Branca cluster, a windy region with a potential for around 2.4 GW of wind power. The cluster is also the home to Voltalia’s 163-MW Ventos da Serra do Mel 1 (VSM1) and the 128-MW Ventos da Serra do Mel 2 (VSM2) projects, both currently under construction.
The Vila Alagoas scheme brings Voltalia’s total capacity to 670 MW in the Serra Branca cluster. The company is also building in this area a high-tension transmission line that will enable connecting 2 GW of wind power.