Equinor ASA has launched its 531-megawatt (MW) Mendubim photo voltaic plant in Brazil, marking a 30 % improve in its fairness energy manufacturing within the nation.
The Mendubim plant will produce 1.2 terawatt-hours (TWh) of energy yearly, Equinor mentioned in a latest information launch. Round 60 % of the facility can be offered beneath a 20-year USD-denominated energy buy settlement (PPA) with Alunorte, one of many world’s main suppliers of alumina for the aluminium business. The remaining manufacturing can be offered on the facility market in Brazil, the corporate famous.
The undertaking was developed and can be operated as a three way partnership between Scatec, Hydro Rein and Equinor. The three companions have an equal financial curiosity of 30 % within the undertaking. Alunorte has exercised its name possibility and now holds the remaining 10 %, in keeping with the discharge.
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“Mendubim represents an vital contribution to Equinor’s diversified power providing in Brazil that features a strong oil and fuel portfolio and a beautiful renewables place”, Equinor Brazil Nation Supervisor Veronica Coelho mentioned.
Olav Kolbeinstveit, senior vice chairman for onshore and markets inside Renewables at Equinor, mentioned, “Launching a significant new photo voltaic plant in Brazil in partnership with Scatec and Hydro Rein is a vital achievement. Equinor has carried out enterprise in Brazil for over 20 years, and we see the nation as a core space for long-term worthwhile progress. By investing in renewable power, we’re supporting Brazil’s ambitions in direction of a various power combine and serving to to fulfill the anticipated energy demand progress within the nation”.
In response to the discharge, Brazil is the most important energy market in South America, with anticipated vital demand progress. The deregulation of the facility market is ongoing, with the deregulated market now accounting for about 40 % of whole consumption.
Mendubim brings Equinor’s energy manufacturing within the nation to over 1.4 TWh in 2024. Via the plant, the corporate additionally enters the deregulated energy market in Brazil for the primary time. The asset is anticipated to ship actual base undertaking returns in the midst of Equinor’s guided vary for renewables of 4 to eight %.
Scatec CEO Terje Pilskog mentioned, “This undertaking marks a pivotal milestone in realizing our strategic goals and reinforces our place in a distinguished renewable power progress market, bolstered by our companions Equinor and Hydro Rein. The burgeoning photo voltaic power market in Brazil aligns with our dedication to sustainable progress, and we’re excited to advance this impactful undertaking with roughly 3 million [metric tons] of carbon dioxide equivalents prevented”.
Hydro Rein CEO Olivier Girardot mentioned, “We’re thrilled to finish the primary of Hydro Rein’s renewable power initiatives in Brazil. Our mission is to develop renewable power options for extra sustainable industries, and Mendubim does simply that. A lot of the energy output will go to Hydro’s alumina refinery Alunorte in Pará, supporting one of many largest decarbonization initiatives on the earth. We’re very proud to participate on this growth along with Equinor and Scatec”.
Equinor famous that its whole renewable energy technology in 2023 was roughly two TWh, and it goals to double the determine this 12 months.
“We’re working to construct a cloth and worthwhile energy portfolio in Brazil”, Kolbeinstveit added. “Our power buying and selling home Danske Commodities will more and more handle this portfolio within the Brazilian market, leveraging their buying and selling and portfolio danger administration capabilities to maximise worth creation”.
Equinor’s renewables place in Brazil contains three property in industrial manufacturing: the 162-MW Apodi photo voltaic plant, the 223-MW Serra da Babilônia 1 onshore wind farm, and the Mendubim plant. Additional, over 1.5 gigawatts (GW) of photo voltaic and onshore wind initiatives are within the pipeline, led by its absolutely owned subsidiary Rio Vitality.
To contact the writer, e-mail rocky.teodoro@rigzone.com
