Aela Energía achieved financial close for US$410 million and begins construction of two wind farms that will inject an additional 299 MW to the national grid

Santiago, August 08, 2017

Sarco and Aurora projects will be located in the Atacama and Los Lagos Regions respectively, and will provide energy to the equivalent of 460 thousand households

Financial close for the construction of Aela Energía’s Sarco and Aurora wind farm was finalized yesterday under an 18-year Project Finance structure.

The group of international banks financing these projects includes the Inter-American Development Bank and its member affiliate Inter-American Investment Corporation, Mitsubishi UFJ Financial Group, Sumitomo Mitsui Banking Corporation, Korean Development Bank, CaixaBank and KfW, plus a VAT credit line provided by Banco Santander. In addition to the debt proceeds, shareholders made significant capital contributions to the projects.

“We are extremely pleased and proud of the successful outcome of this process. It showcases the true strength of the company, its projects, and the confidence that the national and international markets have with respect to its operations and growth prospects”, noted Rubens Romano, CEO of Aela.

These projects will support the energy awarded to the company in one of the latest tender processes, where Aela was awarded 64% of total tendered energy, acquiring a commitment to supply 768 GWh/year to regulated customers for 20 years.

“We are extremely pleased and proud of the successful outcome of this process. It showcases the true strength of the company, its projects, and the confidence that the national and international markets have with respect to its operations and growth prospects”

Rubens Romano, CEO of Aela

Following financial close, Aela will start constructing its two new wind farms: Sarco and Aurora. The Sarco project has an installed capacity of 170 MW and is located in the Municipality of Freirina, Atacama Region, while the Aurora Project has an installed capacity of 129 MW and is located in the Municipality of Llanquihue, in the Los Lagos Region. Together, these wind farms will provide sufficient clean, renewable energy to the equivalent of 460 thousand households.

These new projects, together with the Cuel Wind Farm located in the Biobío Region (operating since 2014), make up Aela’s current portfolio, with a capacity of 332 MW, which will be used to sustain the 856 GWh-year awarded to the company in the last two tenders for regulated customers.

“This financial success responds to Aela’s leadership in Chile’s renewable energy sector. We continue to be a key part in Chile’s electrical systems, transitioning to sustainability & using technologies that are both efficient as well as environmentally and community friendly. Together, this transition reduces the country’s dependence on fossil fuel imports, achieving significant cost savings in energy prices for the end customer”, said Romano.