NEW YORK--(BUSINESS WIRE)--Glenfarne Group, LLC (“Glenfarne”) is pleased to announce that its subsidiary, Prime Energia SpA (“Prime Energia”), a thermal backup power business focused throughout the investment grade Americas, has acquired Empresa Eléctrica de Diego de Almagro S.A. (“Emelda”).
Emelda is the owner of a backup power plant (the “Plant”) located in the Atacama Region of Northern Chile. The Plant is comprised of two units and will add 72 MWs of operational backup power to the Prime Energia portfolio. It is connected to the Chilean Central Interconnected System (“SIC”) at the Diego de Almagro node.
“The addition of Emelda to the Prime Energia business enhances its position as one of the leading providers of on-demand, backup capacity to the Chilean electrical grid, an essential component of any balanced electricity system,” said Rodrigo Cienfuegos, CEO of Prime Energia. Cienfuegos went on to note that “Prime Energia is committed to safe, reliable operations of its facilities. It is currently developing a Santiago-based network operations center which will allow monitoring and operations of all of its power plants from a central location and will ensure each plant is consistently available when dispatched by the Chilean grid operator.”
Concurrent with the Emelda acquisition Prime Energia has closed a senior secured credit facility underwritten by Sumitomo Mitsui Banking Corporation (“SMBC”) and Natixis, a subsidiary of Groupe BPCE, which is part of a mandate to expand the facility up to $450 million. Prime Energia is well positioned to finance its expansion plans and further cement its role as a leading provider of backup power throughout the investment grade Americas region.
In addition to Prime Energia’s existing Nueva Degan asset, an operating power plant permitted to operate at 50 MW, construction on a series of new greenfield backup plants is scheduled to commence in Q1 2017.
Glenfarne Managing Partner Brendan Duval said,“The proliferation of intermittent renewable power sources such as wind, solar, and hydro, go hand-in-hand with increased backup power resources. Prime Energia is proud to support Chile’s strong renewables expansion agenda by providing critical capacity at times of grid & utility instability, outage or distress or when renewables cannot deliver consistent supply.” Mr. Duval went on to note that, “We’re focused on leveraging deep power and renewables expertise across the Glenfarne family of companies including Prime Energia’s sister companies Fontus Hydro, LLC, a run-of-river hydropower business, and Integrated Fibre, LLC, a contracted biomass energy and wood processing business.”
About Prime Energia SpA
Prime Energia, headquartered in Santiago, Chile, is a leading owner-operator of standby power plants. It focuses on Americas region investment grade countries, with an initial launch in the Andean Region (Chile, Peru, Colombia and Panama) and eventual expansion into the North American market. Prime Energia is a wholly owned subsidiary of Glenfarne Asset Company, LLC, a vehicle established by Glenfarne Group, LLC, to advance and oversee its various power and infrastructure businesses.
About Glenfarne Group, LLC
Founded in 2011, Glenfarne’s senior investment team operates across the entire asset ownership lifecycle and is comprised of a mix of operator-engineers, investment professionals, and senior industry partners. Headquartered in New York City with offices in Chile (Santiago) and Panama (Panama City), the team has proven capabilities in developing, owning, and operating real assets. Glenfarne targets assets that have predictable, contracted and/or privileged cash flows. Glenfarne’s capabilities allow it to invest in operating assets as well as engaging in proprietary greenfield development.