Abengoa in 70MW Uruguay wind deal

Spanish renewables group Abengoa will build and operate a 70MW wind farm in Uruguay after securing a deal with state power utility UTE.

Abengoa will construct the $165m plant in Palomas, in Uruguay’s Salto Department.

The Spanish group said it will handle EPC for the wind farm and then run the plant under a 20-year agreement with UTE that Abengoa said will generate $500m in revenues over its lifetime.

Abengoa itself expects to contribute $6m in equity to the project, which will deliver power to about 100,000 Uruguayans.

The Palomas development will use 35 2MW wind turbines, said Abengoa. It does not specify a turbine supplier, but has chosen those from Spanish compatriot Gamesa for a previous wind project in Uruguay.

Work at Palomas will start in early 2014 and is due to take about 14 months, Abengoa said

Abengoa already has PPAs with UTE for two 50MW wind farms in  Uruguay.