Villonaco Wind Power

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Villonaco Wind Power was the special purpose company created to build and operate a 15 MW wind farm in the province of Loja in Ecuador. It was the first project of its kind, and was intended to be a catalyst for future wind projects in Ecuador. Feasibility studies for 45 MW additions to the plant were conducted during 2006. Construction on the project started in 2006. The contract to construct and operate the wind farm was signed in August 2006 between Villonaco Wind Power (VWP) and Conelec, the Ecuadorian electricity regulator. VWP received authorization to sell electricity either on the national grid for US $0.093 per kWh for 12 years of its 25 year concession, or sign private contracts. A small part of the energy from the project was intended to power a water treatment plant serving some 400,000 users. Villonaco Wind Power was formed by Canadian alternative energy generator Protocol Energy (80%) and Loja province owned generator Enerloja (20%). Construction works were completed by January 2013. The project cost was estimated at US$26 million. The project was financed by Protocol Energy. A private placement of 1.6 million shares at US$0.413 ($0.50 Canadian dollars) was 50% completed by 2006. This project is likely to have additional investment commitments in the next few years due to planned capacity expansions. "The company aims to sell power to mining companies 'simply because miners are energy hogs. The average mine has operating costs that are 20% energy-related. They all have the same requirements, which is a stable and guaranteed source of energy at a reasonable price, and wind does that,' Logan said." PPI???