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Home / argentina / A US agency will finance renewable projects worth US $ 100 million • EconoJournal

A US agency will finance renewable projects worth US $ 100 million • EconoJournal

The Private Investment Corporation Abroad (OPIC, for acronyms in English) will sign today in the afternoon an intention letter with Genneia, the largest renewable energy generation company in Argentina, to finance the construction of five solar and wind projects in this country. The authorities of the North American organization, which reports directly to the administration led by President Donald Trump, who will arrive in Argentina in the next few hours to participate in the G20 Summit in Buenos Aires, they will sign an agreement today in the afternoon with Genneia executives at the San Martín Palace, according to this government source exclusively.

OPIC aims to finance the installation of solar farms Ullum 1,2 and 3, given to Genneia in the Round 1.5 frame of RenovAr, and Chubut Norte 3 and 4 large wind fields, given in Round 2 of the same program. These latest projects will be funded together with development entities in Germany. This is the first time in almost 10 years that OPIC has decided to support the financial engineering of productive projects in Argentina.

The Ullum complex consists of three solar parks per 80 megawatts (MW), which will require an investment of close to US $ 80 million. In turn, Chubut Norte 3 and 4 projects will contribute 140 MW to the system by disbursing close to 200 million dollars. "Of the total investment, it is estimated OPIC will finance more than US $ 100 million", He said EconoJournal a government official who knew about the operation.

OPIC is an agency of the US government. that attract investment from US companies in emerging markets. This was made in 1971 and, in practice, provides a tool for managing risks associated with foreign direct investment.

The signing of the letter of intent with Genneia is previous steps for formal financing commitments. For this reason, OPIC will proceed to in-depth analysis of projects to evaluate them according to technical and economic standards.

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