METLEN, Glenfarne clinch deal for solar and BESS project in Chile
The transaction involves operational solar projects with total capacity of 588 MW, combined with co-located BESS facilities of 1,610 MWh. The total value of the acquisition is about USD 815 million.
Greek company METLEN and a wholly owned subsidiary of Glenfarne have entered into an agreement for Glenfarne to acquire a portfolio of solar and BESS assets in Chile.
Glenfarne Group is a New York City and Houston, Texas based developer, owner, operator and industrial manager of energy and infrastructure assets.
The transaction involves operational solar projects with total capacity of 588 MW, combined with co-located BESS facilities with storage capacity of 1,610 MWh. Construction for the BESS facilities is ongoing and expected to be completed within a year, according to a media release.
The projects benefit from wide geographic diversification and multiple interconnection nodes across Chile’s Sistema Eléctrico Nacional (SEN), allowing for portfolio optimization.
The total value of the acquisition is approximately USD 815 million, which includes the assumption of existing debt and based on certain financing assumptions and other adjustments, the media release said. The closing of the transaction is planned to occur when the BESS becomes operational, regulatory approvals are obtained and certain financing and other customary conditions for this type of transactions are fulfilled.
This agreement forms part of METLEN’s global Asset Rotation Program for renewable energy projects and showcases the capabilities of METLEN to implement highly complex transactions globally.
“We have identified the potential of Chile’s renewables market in 2020 and have managed to successfully overcome market challenges. In doing so we have developed, structured —commercially and financially — and constructed these projects at the highest standard,” METLEN CEO Evangelos Mytilineos said. “This agreement reinforces our relationship with Glenfarne across the renewables market but also creates foundations for further enhancing the cooperation in other areas of common interest.”
“This transaction represents a significant step in Glenfarne’s commitment to further expanding our presence in Chile’s renewable energy sector and continued growth in our business relationships with METLEN,” Brendan Duval, founder and CEO of Glenfarne, said. “We’re glad to work with METLEN on this transaction, which aligns with our mission by investing in infrastructure that supports Chile’s energy transition.”