- US$620m secured from a consortium of five banks for 630 MW of wind and solar assets
- One of the largest renewable energy debt financing deals undertaken in the world this year
- Deal underlines Mainstream's commitment to renewable power build-out in Chile and its track record in delivering gigawatt-scale renewable energy platforms
- Full 1.3 GW Andes Renovables platform continues to make excellent progress despite COVID-19 impact due to strict internal safety protocols
PVTIME - Global wind and solar development company, Mainstream Renewable Power ("Mainstream" or "The Company"), has reached financial close for the second phase of its wholly-owned and fully-contracted 1.3 gigawatt "Andes Renovables" wind and solar power generation platform in Chile.
The Company has successfully raised US$620 million
in debt to fund construction of phase two of what is one of Latin
American's biggest wind and solar generation platforms. This brings to US$1.25bn raised to date by the Andes Renovables platform.
The Senior financing has been provided by a consortium of five banks:
IDB Invest, KfW IPEX-Bank, DNB, CaixaBank and MUFG, and is one of the
largest renewable energy debt financing deals undertaken in the world
this year. A sixth bank, Santander, provided a VAT facility.
The 630 megawatt (MW) second phase of Andes Renovables – called
"Huemul" – is comprised of three onshore wind and two solar PV
generation assets. All five assets are in pre-construction and will
reach commercial operation between 2021 and 2022. They will generate
enough sustainable electricity to power 781,000 Chilean homes and will
displace 744,200 metric tonnes of CO2 each year.
Andes Renovables is a c.US$1.8 billion,
three phase wind and solar generation platform comprised of seven
onshore wind and three solar PV generation assets. The first phase,
Cóndor reached financial close in November 2019
and is already over 30% complete. The build-out has created nearly
1,200 jobs across three regions of the country and has safely continued
throughout the COVID-19 pandemic under strict sanitary and social
distancing protocols. The next and final phase, "Copihue", is comprised
of one further wind asset with a 100 MW capacity and is on track to
reach financial close in H1 2021.
Vestas, Nordex Group and Siemens Gamesa are supplying the wind
turbines and the wind farm assets will be built by Sacyr Industrial,
SEMI and Elecnor. The solar PV assets will be built by Sterling &
Wilson and Metka-Egn. All five main power transformers for the projects
will be supplied by Hitachi ABB Power Grids. Grid connection works will
be carried out by Transelec, Inprolec and Isotron-Siemens consortium.
Mary Quaney, Mainstream's Group Chief Executive said:
"Reaching financial close on the second phase of our Andes
Renovables platform is a further positive step on Mainstream's journey
to delivering Latin America's number one wind and solar PV power generation platform.
"Despite the uncertain economic environment caused by COVID-19,
today's announcement is testament to the support of the banking
consortium of Mainstream as the world's leading independent developer of
"Mainstream is building something much bigger than the sum of its
many parts – the Andes Renovables platform is evidence of renewable
energy infrastructure on a massive scale and comes at a vital time for Chile
as the country looks to invest in a green and sustainable recovery from
COVID-19 by decarbonising its electricity system, as well as lowering
the price of power generation nationwide."
Manuel Tagle, Mainstream's General Manager for Latin America said:
"This latest milestone comes as we are making excellent progress
on the construction of the first phase of the platform and I have been
delighted by the response of our teams on the ground to the challenging
conditions that the pandemic has created.
"The economic and environmental impact of the platform is very significant and with
a development pipeline of 2.7 gigawatts of wind and solar assets in
addition to the Andes Renovables platform, Mainstream remains committed
to making an even greater contribution to Chile for the foreseeable future."