Malaga to construct new small hydro plant in Peru

Malaga Inc. and its partners Emerging Power Developers and Stucky S.A. will build a new 20-MW hydropower plant on Malaga's Pasto Bueno property in Peru.

A release from the Montreal-based mining company says the power will be used for a tungsten mining operation.

About 70% of the mine's power currently comes from a 600-KW facility built by Hidropesac in 2007, and Malaga CEO Pierre Money says any surplus energy produced by the new plant would be sold to private users or the Peruvian national grid.

Malaga says it expects to obtain approval for the project by the end of 2012, allowing construction to begin in 2013. Construction is expected to take 18 to 24 months, followed by a six-month commissioning period.

In April 2009, Malaga put the 600-kW Pasto Bueno project into operation on the Pelagatos River in Peru.

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