Sep 18, 2012

Spanish firm cuts energy deal in Brazil

Spanish wind energy firm Gamesa said Thursday it has signed an 843-million-reais ($417 million) contract in Brazil to supply 258 MW of generating capacity.

The contract calls for 129 turbines to be installed at 10 wind farms run by Santa Vitoria do Palmar Holding, part-owned by Brazilian state-owned power utility Eletrosul and private-equity fund Rio Bravo Energia I.

The Spanish company will also provide operation and maintenance services at the wind farms - located in the southernmost Brazilian state of Rio Grande do Sul - over a period of 20 years.

Gamesa said in a statement it plans to begin installing the turbines in late 2013 and complete the process by the first quarter of 2014.

Once all are in operation, the 10 wind farms will generate approximately 957,000 megawatt-hours of electricity per year, equivalent to the annual energy needs of 510,000 Brazilian households, the company said.

With this latest contract, Gamesa now has secured deals to supply 652 MW of turbine capacity in three wind-rich Brazilian regions: the northern state of Ceara, the northeastern state of Bahia and Rio Grande do Sul.