MANILA, Philippines – AC Energy Holdings Inc. of the Ayala Group has sealed a deal to develop a $150-million, 75-megawatt (MW) wind power project in Indonesia.
In a disclosure to the Philippine Stock Exchange yesterday, Ayala Corp. said wholly-owned energy unit signed investment agreements with UPC Renewables Indonesia Ltd. for the development, construction and operation of a wind project in Sidrap, South Sulawesi, Indonesia.
The company said the wind farm will be developed through PT UPC Sidrap Bayu Energi, a special purpose company based in Indonesia.
The Sidrap project will have a generating capacity of 75 MW and is targeted for completion by the end-2017, making it the first utility-scale wind farm project in Indonesia once completed.
The project will also be AC Energy’s first greenfield offshore investment through its affiliate AC Energy International Holdings Pte Ltd., a Singapore private limited company.
Ayala Corp. said the Sidrap project will be funded through equity and project financing to be provided by the Overseas Private Investment Corp., the US government’s development finance institution, and PT Bank Sumitomo Mitsui Indonesia, the Indonesian subsidiary of the Sumitomo Mitsui Banking Corp. of Japan.
UPC Renewables is a leading global energy player that develops, finances, constructs, owns, and operates a portfolio of wind power generation assets. The company and its proponents have successfully developed and operated renewable energy projects in Italy, the USA, Canada, China and the Philippines.
UPC Renewables and AC Energy have previously forged a partnership under North Luzon Renewable Energy Corp., the owner and operator of the 81-MW Caparispisan wind farm project in Pagudpud, Ilocos Norte.