Mitsui acquires participation in Mexican wind project

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Mitsui acquires participation in Mexican wind project

Mitsui & Co., Ltd has agreed with EDF EN Mexico S. de R.L. de C.V., a subsidiary of EDF Energies Nouvelles S.A., to participate in the 160 megawatt (MW) Santo Domingo Wind Project, located in Oaxaca, Mexico.

Mitsui, through MIT Renewables Mexico, S.A.P.I. de C.V., its Mexican subsidiary, acquired 50 % ownership in the common stock of Eoliatec del Pacífico, S.A.P.I. de C.V., who owns the Project.

The total project cost is approximately MXN 5.0 billion (approximately US$383 million).

EDF EN Mexico completed the development activities and closed on the financing arrangements for the project. The project, now in an advanced stage of construction, is scheduled to start commercial operation in April, 2014. Power generated from the project will be delivered to various entities of two major private-sector corporations, based on power purchase agreements for 15 years.

The agreement follows Mitsui's acquisition in February 2013 of 50 % of the Bii Stinu (164 MW) wind project, located in the same area of Oaxaca.

EDF EN Group's portfolio of renewable energy assets includes 6,358 MW* throughout 17 countries in Europe and North America. Its operation and maintenance services subsidiary extends its activities to more than 8,000 MW of renewable power assets globally.

Mitsui is the No.2 IPP (Independent Power Producer) in Mexico, participating in six other gas-fired combined cycle power stations. The company also has presence in various infrastructure business in Mexico, including the operation of gas-pipeline, an LNG receiving terminal, local gas distribution, effluent treatment projects for refinery plants, as well as water supply and sewage treatment projects for the municipality. With its local expertise obtained through these businesses and knowledge in power projects carried out globally, Mitsui aims to strengthen the diversified power generation portfolio in the country thereby contributing to the establishment of sustained energy supply and low carbon social infrastructure in Mexico, in order to meet the expected growth of electricity demand.

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