Morales & Besa advises lenders for the El Pelicano PV Project to supply energy for Metro de Santiago
Morales & Besa successfully advised Crédit Agricole Corporate and Investment Bank, Bank of Tokyo-Mitsubishi UFJ,LTD., Sumitomo Mitsui Banking Corporation and Korea Development Bank as lenders for the financing for the construction of the El Pelicano solar PV Project, with an installed capacity of 100 MW and located in the IV Region, Chile. Morales & Besa also advised Banco de Crédito e Inversiones, as lender for the VAT financing and the performance bonds financing.
The importance of this transaction is related to a project that has signed a power purchase agreement for electricity supply with Metro de Santiago, as much of the hours of operation of Metro de Santiago matches the production schedule of the project. In this sense, the Santiago Metro is the first underground system that is mainly supplied from renewable sources.
The transaction consisted of the financing for the construction of the El Pelicano PV Project, for US$ 199,695,000, the financing of the VAT associated with the construction for US$ 22,000,000, and the financing of performance bonds to be delivered to Metro (Santiago subway company) and Ministry of National Assets for 187,293 Unidades de Fomento.. The transaction closed on 8 July 2016.
The M&B team was led by José Miguel Carvajal (Partner, Project finance), Myriam Barahona (Partner, Project finance), with Ignacio Menchaca (Senior Associate, Project finance), Sebastián Leyton (Senior Associate, Energy), Paulo Quinteros (Associate, Project finance), Bernardo Mora (Associate, Project finance) and María Paz Charpentier (Associate, Project finance).