Mexican renewable energy group Zuma Energia announced it has secured US$ 600 million to finance a wind farm project in Reynosa, Tamaulipas, set to be the largest in the country according to the company.
The funds will be provided by three Mexican development banks, Banco Nacional de Obras y Servicios Publicos (Banobras), Banco Nacional de Comercio Exterior (Bancomext) and Nacional Financiera (Nafin), as well as Santander and EKF, the Danish export credit agency.
The project draw attention from EKF because of Vestas Wind Systems, a Denmark-based wind blades manufacturer which has entered into a conditional agreement with Zuma to supply the V136-3.45 MW turbines for the Reynosa facility.
The deal comprises supply, installation, and commissioning of the wind turbines, as well as a 15-year Active Output Management 5000 service agreement.
The Parque Eolico Reynosa, a wind farm that will generate enough power for 1 million homes, will require a total of US$ 725 million investment. The remaining US$ 125 million will come from Actis, a UK-based emerging market-focused private equity company, and from Mesoamerica Investments, a Latin American focused investor. Each company owns 80% and 20% of Zuma Energia, respectively.
Zuma, which was set up in 2014 as Mexico was opening up its energy sector to private investment, has three projects in the country with a total portfolio of 800 MW. Besides the Reynosa wind farm, the company earned two solar projects at Mexico’s second renewable energy auction a year ago.
The Reynosa farm in the northeastern state of Tamaulipas will have total capacity of 443 MW and be one of the largest in Latin America. The facility will mitigate 739,000 tons of carbon dioxide emissions annually. According to PwC, Mexico’s renewable energy sector will attract US$ 70 billion in foreign investments between 2015 and 2029.