June 27, 2019 |
Spanish renewable energy company gets $110m from Santander and SMBC for the Cabo Leones III project
Spain's Ibereólica Renovables has signed a $110m debt package to develop the Cabo Leones III wind power project in northern Chile, LatinFinance has confirmed.
Santander and SMBC provided a long-term loan for $93m and also supplied a $4.4m letter of credit and an CLP8.8bn ($13m) VAT facility, said a source close to the deal.
Located near Freirina in the Atacama Region, Cabo Leones III will have a total capacity of 173 MW and connect to the SING power grid in northern Chile through the Maitencillo substation. The wind farm is scheduled to begin commercial operations in 2021.
Ibereólica started the first phase of operations at the 170 MW Cabo Leones I in December 2017 and broke ground on the 204 MW Cabo Leones II in August 2017. It is also getting licenses to build the 263 MW Loa wind farm in the Antofagasta Region.
PPU Legal advised Ibereólica on Chilean law, while Squire Patton Boggs provided counsel in New York. Morales & Besa was the local advisor for Santander and SMBC, while Linklaters was the advisor in New York.