Pattern Energy reaches full commercial operation of El Arrayán wind project

Subscribe to our newsletter and get the latest news and business opportunities in your inbox
Pattern Energy reaches full commercial operation of El Arrayán wind project

Pattern Energy Group Inc. has announced that the 115MW El Arrayán Wind project has completed construction and it is fully operational.

The El Arrayán Wind power project is the largest wind project in Chile and all of South America. Construction works started in May 2012 and the first turbine was erected on 29 October 2013. The project entered into a long-term lease agreement with the land-owner in January 2012.

Skanska was awarded the construction contract worth $76 million for the wind farm in March 2012. The scope of the contract includes planning, design, procurement and construction of roads, foundations, buildings, and electrical infrastructure, including two substations and a 220kV transmission line.

Financing for the US$245 million wind farm was secured in May 2012. Eksport Kredit Fonden, Bank of Tokyo-Mitsubishi UFJ, Credit Agricole, Sumitomo Mitsui Banking, and local bank Corpbanca are providing funds for the project.

Pattern Energy is the operator of El Arrayán Wind and is a joint venture owner with a net ownership interest of 31.5% in the project. Its joint venture partners include AEI El Arrayán Chile SpA, a subsidiary of AEI, and Antofagasta Minerals SA (AMSA) with net ownership interests of 38.5% and 30% of the project, respectively.

In addition, AMSA is the controlling party of the off-taker Minera Los Pelambres, which will acquire approximately 70% of the project's expected electricity generation through a long-term fixed-for-floating hedge. The project will sell its remaining output into the Chilean spot market at the prevailing market price at the time of sale.

El Arrayán connects to the Sistema Interconectado Central's 220kV transmission system. The project is located on approximately 15,320 acres of coastal land on a long-term lease with a single landowner. The project 115MW project consists of 50 2.3 MW Siemens turbines mounted on 80m-high towers.

The renewable power project will offset the emission of around 320 million tonnes of CO2, while helping to meet Chile's goal of producing 20% of its energy from non-conventional renewable sources by 2020.

List of country news

Country news

  • June 19, 2014

    Santander to provide equity financing for wind projects in Chile

    Banco Santander will acquire stakes in four Chilean wind developments from U.K.-based Rame Energy. The bank will provide with US$69 million of equity funding for the wind power projects. Read more
  • July 01, 2014

    First Solar gets approval for 369MW PV plant in Chile

    The Environment Agency of Chile (EIS) has approved the construction of a 369 MW solar photovoltaic (PV) park in the northern Antofagasta region. Read more
  • July 01, 2014

    Pattern Energy acquires controlling interest in El Arrayán Wind project in Chile

    Pattern Energy Group Inc. has acquired AEI's 38.5% net ownership interest in the El Arrayán Wind project. Read more
  • July 02, 2014

    First Solar gets financing for Luz del Norte PV plant in Chile

    First Solar, Inc. has received board approval from the Overseas Private Investment Corporation (OPIC), the U.S. Government's development finance institution, and IFC, a member of the World Bank Group, for financing to support construction of the 141MW Luz del Norte solar power plant in Chile's Atacama Desert. Read more
  • July 03, 2014

    EIB backs Chile renewables projects

    The European Investment Bank (EIB) has announced a €150 million framework loan to Banco Santander Chile for financing projects contributing to climate change mitigation, especially large and medium-scale renewable energy schemes. Read more

Share this news

Join us

In order to get full access to News section, you must have a full subscription. You can check all the benefits of becoming a member and purchase a subscription on our membership page.