Monday , May 17 2021

The US Agency will finance renewable projects for $ 100 million • EconoJournal

The Private Investment Corporation abroad (OPIC, for its acronym in English) today will sign the letter of intent with Geneva, the largest renewable energy company in Argentina, to finance the construction of five solar and wind projects in the country. The authorities of the North American organization, which directly reports to the administration led by President Donald Trump, who arrives in Argentina in the coming hours to participate in the G20 summit in Buenos Aires, they will sign a deal this afternoon with the directors of Genneia in the San Martin Palace, according to this source of power exclusively.

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

The Ulmum complex is comprised of three solar parks of 80 MW, which will require investments close to $ 80m. In return, Chubut Norte 3 and 4 projects will contribute 140 MW to the system with payments of nearly $ 200 million. "Of the total investment, it is estimated that OPIC will finance more than 100 million US dollars"He said about EconoJournal government officer aware of the operation.

OPIC is an agency of the US government. which attracts investment from US companies in emerging markets. It was created in 1971 and, in practice, provides tools for managing the risks associated with direct foreign investments.

The signing of Gennie's letter of intent is a preliminary step towards a formal commitment to funding. To that end, OPIC will continue with an in-depth analysis of projects in order to assess them according to technical and economic standards.

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