Union Group acquires Peru's 5.3-MW Canchayllo small hydropower plant

Peru Flag

The Union Group has acquired the 5.3-MW Canchayllo hydropower project in Peru as part of an acquisition that includes developer Empresa de Generacion Electrica Canchayllo S.A.C.

The US$14.3 million deal adds to the Union Group's growing presence in the South American country, which already includes the 8.4-MW El Carmen and 19-MW 8 de Agosto plants.

"Hydropower is a strategically important sector for the Union Group in Peru, one involving long-term, cash-generative real assets that help diversify our global institutional investors' portfolios," president and founder Juan Sartori said. "This acquisition is part of our approach to buy existing assets, as well as developing and building our plants ourselves."

HydroWorld.com reported that the run-of-river Canchayllo began production in January. The plant is located on the Pachacayo River in Junin Province and took 18 months to complete.

Empresa de Generacion Electrica Canchayllo S.A.C. (EGECSAC), a Ruralec subsidiary, received a $7.2 million loan for its construction from the Inter-American Investment Corporation (IIC) in December 2012 after securing rights for its development the previous year.

For more news from Latin America, visit here.

Did You Like this Article? Get All the Energy Industry News Delivered to Your Inbox

Subscribe to an email newsletter today at no cost and receive the latest news and information.

 Subscribe Now

Whitepapers

Logistics Risk Management in the Transformer Industry

Transformers often are shipped thousands of miles, involving multiple handoffs,and more than a do...

Secrets of Barco UniSee Mount Revealed

Last year Barco introduced UniSee, a revolutionary large-scale visualization platform designed to...

The Time is Right for Optimum Reliability: Capital-Intensive Industries and Asset Performance Management

Imagine a plant that is no longer at risk of a random shutdown. Imagine not worrying about losing...

Going Digital: The New Normal in Oil & Gas

In this whitepaper you will learn how Keystone Engineering, ONGC, and Saipem are using software t...

Latest PennEnergy Jobs

PennEnergy Oil & Gas Jobs