Hydro Global Peru and Peruvian state generator Empresa de Generacion Electrica San Gaban (Egesg) have signed a contract to develop the 206-MW San Gaban III hydro project in Peru.
According to BNamericas, Hydro Global Peru is composed of China Three Gorges and Energias de Portugal. The company presented the project to private investment promotion agency ProInversion (Promocion de la Inversion Privada) in November 2015, and the agency declared the project to be of interest.
San Gaban III is planned for the San Gaban district in Carabaya province, Puno region. It will be built downriver from Egesg’s 110-MW San Gaban II complex, which was completed in 1999. The development includes a powerhouse containing two vertical Pelton turbine-generator units and 220-kV transmission line connecting to the Onocora or Azangaro substations. It is expected to generate 1,263 GWh of electricity annually.
The project, on the San Gaban River, is anticipated to cost US$438 million to develop and will not require public co-financing or financial and non-financial guarantees from the state or any state entity.
During its 30-year operating period, Hydro Global will transfer 5% of the San Gaban III output to Egesg. Egesg will take over operations at the end of the concession period.
Egesg also holds a temporary concession for the 130-MW San Gaban IV project.