Jose de Alencar Thermal Power Plant

cancelled

The Brazilian company Cauipe Geradora de Energia S.A., a wholly-owned subsidiary of Grupo Bertin S.A., was granted an authorization to build the 300-MW thermoelectric power plant (natural gas) named Jose de Alencar located in the state of Ceara. The 35-year contract was signed in March 2009. Cauipe Geradora de Energia S.A. committed to invest US$ 288.3 million (BRL 470 million). In March 2011, the company signed a loan contract with SUDENE (the Brazilian northeastern region development agency) worth US$ 193.2 million (BRL 315 million). In 2008, the company won the bidding for purchase power agreements to sell the electricity to the grid starting in 2011. The winning bid was worth US$71.8 (BRL 131,44) MWh, with an average of 169 MW of delivered output. Construction works were underway, as of August 2011. Due to delays in the implementation of the project, the regulatory agency cancelled the concession contract in March 2012 and applied the due penalties.