FRV secures financing for Potosí Solar Farm in Mexico

Fotowatio Renewable Ventures (FRV), a leading global developer of renewable utility-scale projects, has reached financial close for the 342 MW dc Potosí Solar Farm in Mexico.

FRV has closed the financing agreement with KFW (Kreditanstalt für Wiederaufbau), Bancomext and ING. The project, which will be first to be operated by FRV in the country, was awarded in the second auction held by the National Center for Energy Control (CENACE) in September 2016 and was followed by the Power Purchase Agreement (PPA) with CFE Suministro Basico in March 2017.

Located near a major network infrastructure – 60km northeast of the city of Zacatecas in the State of San Luis de Potosí – Potosí Solar Farm will be connected to the national electricity grid, generating enough energy to power around 150,000 households. At the same time, it will reduce greenhouse gas emissions by approximately 600,000 tons of CO2 per year.

Construction of the plant, which will be carried out by TSK under an EPC contract, will have an extension of approximately 800 hectares, and will begin construction operations in early 2018. It is expected to be operational by early 2019, contributing to the economic development of the area – potentially 300 jobs will be created during the construction phase of the plant and once operational approximately 17 of those jobs will potentially be maintained.

Rafael Benjumea, Chief Executive Officer of FRV, said: “Mexico has enormous renewables potential. That is why we are committed to bringing clean energy and job creation in the country. This particular project will contribute to socio-economic development and allow us to continue leading international trends in the production of clean, competitive and sustainable energy.”

‘The tenders run by CENACE for long term PPA’s with CFE Suministro Basico have proven to be a very successful mechanism to contract the energy produced by the renewable energy plants. This is decreasing Mexico´s CO2 footprint, helping to reach the country’s goal of 35% of the energy generated by renewable energy in 2024, and achieving record prices which will have a positive impact in the Mexican electricity prices” Rafael added.

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FRV awarded a 300 MW solar project in Mexico’s second electricity market auction

Madrid, Spain; October 27, 2016

Fotowatio Renewable Ventures (FRV), a leading global developer of large-scale solar power plants, has been awarded a 300 MW solar project in the second electricity market auction, conducted by the National Energy Control Center (CENACE) of Mexico.

With this agreement, FRV extends its global footprint into the Mexican market at very a competitive rate of US$ 26.99/MWh.

The construction of the plant will begin in mid-2018 and will become operational in mid-2019, and will create approximately 250 local jobs as part of the construction phase and a further 20 jobs during operations. The plant will also generate enough green electricity to supply approximately 76,100* homes, while reducing greenhouse gas emissions by approximately 97.7 million tons of CO2.

Mexico has set a target to generate 35% of its electricity from renewable energy sources by 2024, making it a strategic market for FRV and attracting a number of international investors.

Through this round of auctions, México plans to build more than 15,000 MW of new installed capacity of renewable energy.

“Mexico is one of the world’s richest markets in renewable energy sources, which presents numerous opportunities for FRV and international investors. FRV’s success in this auction marks a milestone as it further expands the company’s footprint in Latin America and supports its global growth plans,” explains Rafael Benjumea, CEO of FRV. “Our pipeline in the country, in addition to our expertise and competitiveness, places us in a good position to continue participating in future auctions.

FRV has had presence in Latin America since 2013. In July 2015, FRV´s ‘La Jacinta’ solar plant commenced operations, making Uruguay home to one of the largest solar photovoltaics (PV) projects in Latin America.

*This figure is based on green electricity needed to supply average Mexican homes

About FRV

FRV is a leading global solar development company with a 4.5 GW development portfolio in the emerging solar markets including Australia, the Middle East, India, Africa and Latin America. Since 2006, the management team has completed the construction, operation, maintenance and financing of over 650 MW of photovoltaic and CSP solar energy plants. Such projects represent more than US$ 2.5 billion in total financings with more than 20 leading banks.

www.frv.com

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