Metlen Energy, the multinational industrial and energy company, has made a deal with a subsidiary of the asset company Glenfarne for it to acquire solar and battery energy storage system (BESS) assets in Chile for $850 million USD.
This deal involves operational solar projects co-located with BESS facilities, with an overall storage capacity of 1,610 MWh.
It is claimed that the projects have a wide geographic diversification, as well as multiple interconnection nodes across Chile’s national electric system.
The deal has not been completed yet, expected to close when the BESS becomes operational.
The amount was based off the assumption of debt and other financing assumptions.
Metlen said its agreement aligns with the global asset rotation programme it has for renewable energy projects.
It has been creating both hybrid and standalone energy storage projects and claims to have created substantial value across the firm’s global energy business.
Evangelos Mytilineos, CEO, Metlen, said: “This is a landmark transaction for METLEN, as we pave the growth of M Renewables. We have identified the potential of Chile’s renewables market in 2020 and have managed to successfully overcome market challenges. In doing so we have developed, structured – commercially and financially – and constructed these projects at the highest standard.
Brendan Duval, founder and CEO, Glenfarne, said: “This transaction represents a significant step in Glenfarne’s commitment to further expanding our presence in Chile’s renewable energy sector and continued growth in our business relationships with METLEN. We’re glad to work with METLEN on this transaction, which aligns with our mission by investing in infrastructure that supports Chile’s energy transition.”
