Chilean company signs $758 million financing agreement for CSP plant

Cerro Dominador, a Chilean company owned by investment funds managed by EIG Global Energy Partners, has signed a finance agreement for its Concentrated Solar Power (CSP) plant in the Atacama Desert.

The US$758 million deal will allow the company to finalise the construction of the first combined CSP and photovoltaic project in Latin America, providing a total of 210MW of capacity.

A group of international financial institutions will supply the financing, including: Natixis, Deutsche Bank, Société Générale, ABN AMRO, Santander, Commerzbank and BTG Pactual as well as other institutional investors in a tranche parallel to the bank financing.

The Cerro Dominador project is located near Calama in the Antofagasta region of Chile, an area with some of the highest solar radiation in the world.

The new construction phase is expected to generate more than 1,000 jobs at its peak during the next two years.

Once construction is completed and the plant becomes operational, it will supply clean, reliable energy to the national interconnected system in Chile, selling most of its power under 15-year power purchase agreements awarded at the end of 2014.