Vestas agrees to sell 90MW Chile project to Enel Green Power

Danish wind turbine manufacturer Vestas has made a conditional agreement to sell its 90MW Talinay wind farm project in Chile to Italian renewables giant Enel Green Power (EGP).

The company says it will make a further announcement as soon as the agreement becomes firm and unconditional.

Meanwhile, EGP announced that it had signed a 12-year €110m ($140.6m)loan with Denmark’s Export Credit Agency (EKF) to finance its investment in the Talinay wind farm. Investment bank Citigroup acted as agent and arranger.

EGP says that the overall investment for the completion of the plant totals approximately $165m. Vestas is responsible for the construction of the wind farm.

The loan is the third granted to EGP by EKF since October 2011, for a total value of around €400m. EGP says the loans bear an interest rate “in line with the market benchmark”.

Vestas started construction of the Talinay Oriente project, in Limari Province in northern Chile, in September and will equip it with its 2MW turbines. It acquired the project from a local developer.

It will be Chile’s largest wind farm when it is completed later this year.