Development consortium Madeira Energia S.A. said April 27 that it closed the sale of 30 percent of the power to be generated by the 3,150-MW Santo Antonio hydroelectric project being developed on Brazil’s Madeira River.
Consortium President Roberto Simoes said an unidentified large generation and distribution company agreed to pay 7.5 billion reais (US$3.3 billion) for the power for 15 years beginning in December 2012.
Madeira Energia won a 2007 concession auction to develop Santo Antonio by bidding to sell 70 percent of the project power to 32 distribution utilities for 78.87 reais (US$35.50) per MWh, a 35 percent discount compared with the auction’s price cap of 122 reais (US$54.91). (HNN 12/10/07) The government allowed the remaining 30 percent to be sold in the open market.
In December, Brazil’s national development bank, Banco Nacional de Desenvolvimento Economico e Social (BNDES), approved 6.1 billion reais (US$2.7 billion) in financing for construction of Santo Antonio by Madeira Energia S.A. (HNN 12/30/08) The consortium includes Furnas Centrais Eletricas S/A, Odebrecht Investimentos em Infra-estrutura Ltda., Construtora Norberto Odebrecht S.A., Andrade Gutierrez Participacoes S/A, Cemig Geracao e Transmissao S/A, and Fundo de Investimentos e Participacoes Amazonia Energia (formed by banks Banif and Santander).
Santo Antonio is to have a total of 44 turbine-generators of about 72 MW each, the first starting up in May 2012. The investment is to create 21,700 jobs and supply power to 15 million people.