La Virgen Hydro Power Plant

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The Peruvian company Peruana de Energía SAA announced the development of La Virgen hydro power plant (Tarma river), located at Junin Department (64 MW in capacity). In October 2005, the sponsor signed a definitive concession agreement with Peru’s Ministry of Energy and Mines (MINEM). In May 2008, Peruana de Energía created the La Virgen SAC, whose capital structure was made up of 60% for Eolica de Navarra SLU (Spanish group Enhol) and 40% for the Peruvian company. Just after the agreement, the Spanish company left the partnership and the Canadian company Riverbank Power Corporation took over the 60% stake. In August 2012, Riverbank also left the partnership. In December 2013, Brazilian holding Alupar Investimentos S.A. signed an agreement with Peruana to undertake a 65% stake of La Virgen. The investment was estimated at US$ 107,3 million. In February 2016, the project company was awarded a US$ 50 million loan from Santander Bank Brasil. Construction works commenced in early 2015 and, as of August 2016, 70% of the works were concluded. Commercial operations were scheduled to begin by December 2017.