Brazil’s development bank has approved financing of 120.4 million reais (US$66.9 million) for construction of two small hydroelectric projects in Brazil’s Goias State totaling 49 MW.
Banco Nacional de Desenvolvimiento Economica e Social (BNDES) said October 23 that it approved the funding for the 21-MW Nova Aurora project and the 28-MW Goiandira project being built by Neoenergia on the Verissimo River.
Neoenergia, a Brazilian unit of Spanish utility Iberdrola, began construction in August of both Nova Aurora and Goiandira. (HNN 8/21/07) BNDES said the first generating units are to begin operation in July and August of 2009.
Nova Aurora, being built near the town of Nova Aurora, requires an investment of 99 million reais (US$44.3 million). Goiandira, next to the town of Goiandira, requires an investment of 98 million reais (US$49.4 million).
BNDES said funding is structured as project finance and that BNDES will provide 66.3 percent of the total investment.
A construction consortium of Empresa Industrial Tecnica and Energ Power is building the projects for Neoenergia’s development unit, Goias Sul Geracao de Energia S.A.
In August, Neoenergia acquired three small hydroelectric projects totaling 46.3 MW from Brascan Energetica, 25-MW Sitio Grande on Femeas River and 11-MW Jatoba and 10.3 MW Palmeiral projects on Grande River.