Chile's Ministry of Public Works (MOP) has prequalified a total of five teams for the Punilla reservoir concession project in the Bío-Bío Region.
The five shortlisted companies/teams are the following:
The project involves the development of a 165 meters high dam and a 100 MW hydro power plant. The project is expected to double the amount of irrigated lands to over 60,000 ha. It includes a reservoir with capacity of 625 hm3, which will be located 30km from San Fabián de Alico.
The contract is a 20-year concession with income from generation of hydroelectricity, sale of water rights prior to the concession (considered as annual income) and use of water not acquired by the reservoir's users.
The total project investment is estimated at US$600 million with financing to be split between the government, local farmers and a private concessionaire.
The reservoir would address the irrigation needs of farmers in the area of the River à‘uble, including the à‘uble province and part of the San Carlos, Chillán, à‘iquén, San Nicolás, Coihueco and San Fabián de Alico municipal districts in the Bío-Bío Region.