MPC Energy Solutions invests Puerto Rico CHP project
MPC Energy Solutions has acquired a 3.4 MW Combined Heat and Power (CHP) project in Puerto Rico. The project will sell the produced heat and power under a 12-year USD-denominated energy service agreement to a pharmaceutical company.
This is MPC Energy Solutions’ first acquisition since its listing on the Oslo Stock Exchange’s Euronext Growth segment in January 2021. The acquisition is subject to customary closing conditions and expected for August 2021.
The project is currently under construction with expected commissioning to take place in August 2021. Once complete, it is expected to produce 25,000-30,000 MWh of energy supply annually and will lead to a reduction of 100,000 tons of CO2 over the 12-years contract period. The investment aligns perfectly with MPC Energy Solutions’ strategy to focus on the corporate sector as a source of clients and to build strategic partnerships for accelerated capital deployment such as with Enernet Global Inc.
Cogeneration projects offer substantial economic and environmental benefits to its users as they simultaneously produce heat and power. These benefits include lower overall energy costs, improved reliability, and reduced thermal energy consumption. The implementation of this project will lead to a reduction of carbon emissions of up to 30 per cent.
Martin Vogt, CEO at MPC Energy Solutions, says: “Like a number of other countries within the region, Puerto Rico offers an attractive market with strong growth potential within the renewables sector. This latest investment shows our commitment to meeting growing demand from the region’s corporate sector which is looking to achieve a reduction in its carbon emissions as a whole. As we work hard to deliver our portfolio of projects across Latin America and the Caribbean, we will be assessing additional opportunities in Puerto Rico as we continue to help the region with its transformation from fossil fuels towards cleaner energies. This is also the first project implemented from the strategic partnership with Enernet Global Inc.”
The Company already owns a development portfolio of 334 MW solar PV projects in Colombia, El Salvador and Jamaica. In addition, the Company has built a project pipeline of around 300 MW in Latin America and the Caribbean.