Brazilian utility Centrais Eletricas de Santa Catarina S.A. (Celesc) plans to sell its 12.16 percent stake in the 1,140-MW Machadinho hydroelectric project on the Sao Paulo stock exchange, Bovespa.
Potential bidders must deposit financial guarantees by November 27 to participate in the December 1 Bovespa auction, Celesc said in a statement reported by Business News Americas.
The sale is part of company plans to divest generation assets to comply with Brazilian law requiring utilities to separate their distribution operations from their generation business. (HNN 10/23/06)
Machadinho’s other owners are aluminum company CBA, 24.18 percent; U.S. aluminum company Alcoa, 22.61 percent; utility Tractebel Energia, 16.41 percent; aluminum company Valesul, 7.28 percent; cement maker Rio Branco Cimentos, 4.93 percent; cement maker Camargo Correa Cimentos, 4.63 percent; utility Companhia Estadual de Energia Eletrica, 4.86 percent; and utility Departamento Municipal de Eletricidade do Pocos de Caldas, 2.4 percent.
Celesc likely to sell other hydro assets
Utility regulator Agencia Nacional de Energia Eletrica (ANEEL) approved transformation of Celesc into a holding company with two subsidiaries, Celesc Geracao S/A to operate its hydro plants, and Celesc Distribuicao S/A to operate its distribution system.
Bundled into Celesc Geracao are the utility’s 12 small hydroelectric projects totaling 80.94 MW: 2.6-MW Ivo Silveira, 6.3-MW Salto, 5.4-MW Celso Ramos, 8.4-MW Cedros, 15-MW Bracinho, 3.82-MW Caveiras, 520-kW Rio do Peixe, 420-kW Sao Lourenco, 780-kW Pirai, 24.4-MW Palmeiras, 8.9-MW Garcia, and 4.4-MW Pery. Celesc eventually is expected to sell the generation unit.
Celesc also is expected to sell its 23 percent share of the 125-MW Dona Francisca hydro project, and 2 percent of the 880-MW Campos Novos project.
For information, contact Chairman Miguel Ximenes de Melo Filho, Centrais Eletricas de Santa Catarina S.A., Rodovia SC 404 km 3, Bairro Itacorubi, Florianopolis, Santa Catarina 88034-900 Brazil; (55) 48-32315000; Fax: (55) 48-32316560; E-mail: email@example.com; Internet: www.celesc.com.br.