Union Group arranges US$59 million in financing for two Peruvian hydropower projects

Peru Map

Peru's 19-MW 8 de Agosto and 8.4-MW El Carmen hydropower projects have received a US$59 million financing package arranged by energy investor Union Group.

The package includes senior debt contributions from Germany's DEG, the Netherlands Development Finance Company (FMO), Austrian development bank OeEB and Peruvian development bank COFIDE.

"We are delighted to have brought this transaction to a close and we welcome the four development banks as strategic partners in this project," Union Group president and founder Juan Sartori said. "Each of them share our long-term ambitions for the hydropower sector in Peru and our vision to deliver clean energy while creating jobs, encouraging economic growth and delivering investor returns.

Both plants are being developed by Union Group subsidiary Generacion Andina and backed by 20-year power purchase agreements with the Peruvian government.

The hydroelectric projects are located in the Monzon district and are scheduled for completion in January 2016.

HydroWorld.com reported in July that the Union Group had acquired the 5.3-MW Canchayllo plant as part of a plan to expand its Peruvian hydropower portfolio. The investment firm said it is developing close to 1,000 MW-worth of assets in the country.

 

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

Maximizing Operational Excellence

In a recent survey conducted by PennEnergy Research, 70% of surveyed energy industry professional...

Leveraging the Power of Information in the Energy Industry

Information Governance is about more than compliance. It’s about using your information to drive ...

Reduce Engineering Project Complexity

Engineering document management presents unique and complex challenges. A solution based in Enter...

Revolutionizing Asset Management in the Electric Power Industry

With the arrival of the Industrial Internet of Things, data is growing and becoming more accessib...

Latest PennEnergy Jobs

PennEnergy Oil & Gas Jobs