Barra do Brauna Hydro Power Plant

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In November 2000, CAT LEO Energia S.A. was awarded in a competitive bidding process organized by the regulatory agency ANEEL the 35-year contract to build and operate a 39 MW hydro power plant located in the Pomba River, state of Minas Gerais. Information on the other bidders was not available. The bidding criteria set by ANEEL was the highest price paid for the concession rights. CAT LEO presented the highest offer, a value of US$ 3.4 million (BRL 6.9 million, in 2009 value). The contract was signed in March 2001, and Cat-Leo Construcoes Industria e Servicos S/A (Cat-Leo Cise) became responsible to lead the project during the 35-year contract period. In the end of 2007, the project was acquired by Brascan Energetica S.A., a wholly-owned subsidiary of the Canadian Brookfield Renewable Power Inc. The sponsor created the company Barra do Brauna Energetica S.A. to undertake the project. The sponsor committed to invest US$ 92.5 million (BRL 185 million) in the power plant. Although construction works started in June 2007, financial closure was only achieved in August 2009, when the sponsor was granted a US$ 59 million (BRL 118 million) loan from BNDES. Operations commenced in December 2009. status should be updated in 2010