The solar development will be located in the municipality of Taltal, in the Antofagasta region about 950km north of Santiago.

"The total investment required to build the new power plant is approximately $32m," said EGP.

"Lalackama 2 is supported by a power supply contract to sell energy to private customers," it added.

The new facility will be the company's fourth project in Chile, and once fully operational, will be capable of generating over 50GWh per year, equivalent to the power consumption needs of about 30,000 local households, said EGP.

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