Buenavista Renewables, ESCO, and Zodiac Aerospace enter into long-term PPA
CHIHUAHUA, Mexico, May 20, 2019
CHIHUAHUA, Mexico, May 20, 2019 /PRNewswire/ — Buenavista Renewables México, S. de R.L. de C.V. (“BVR”), a Buenavista Renewables company, and ESCO Comercializadora Energética S. de R.L. de C.V., a qualified supplier from Mexicali, Baja California, announce they have entered into a tripartite long-term Power Purchase Agreement with Zodiac Aerospace Equipo de México S. de R.L. de C.V., an affiliate of France’s Safran Group. The electricity to be delivered under the PPA will be generated by roughly 13 MW of the Los Santos Solar II solar facility (the “Project”), which BVR is developing in Ahumada, Chihuahua. The Project is located contiguous to BVR’s operational Los Santos Solar I project.
Under the PPA, Zodiac Aerospace, as off-taker, will be supplied 100% of its electricity, Clean Energy Certificates, and capacity from ESCO, as qualified supplier under Mexican market rules; approximately 70% of these products will come from the Project. In total, Zodiac Aerospace has committed to purchase more than 30,000 MWh of electricity annually from the Project.
The Project will be constructed on 80 hectares of private ranchland located between Ciudad Juarez and Chihuahua. Zodiac Aerospace will be consuming the electricity at factories in Chihuahua, Chihuahua. BVR and ESCO will announce the Project’s other off-takers in the coming weeks.
Dean G. Hull, Principal – Structured Finance of BVR, had the following to say: “It has been a pleasure working with Safran Group on this transaction and to see a global company committed to environmental protection, while concurrently benefiting from the economic advantages of fixed electricity pricing.” Felipe Sandoval, General Manager of Zodiac Aerospace said the following, “The signed agreement with BVR and ESCO is in line with Safran’s strategy to develop new sources of reliable and clean energy in order to become carbon neutral.”
The transaction shows BVR’s continued commitment to structuring deals that make sense for all stakeholders, as stated by José Ruiz, Principal – Business Development of BVR: “We look forward to working with other private sector clients in Mexico on similar initiatives, which will also aid Mexico in reaching its stated energy independence goals.”
About Zodiac Aerospace
In February 2018, Safran took control of Zodiac Aerospace, significantly expanding its aircraft equipment activities. Zodiac Aerospace’s former activities are now the focus of three new companies within the Safran Group: Safran Aerosystems, Safran Cabin and Safran Seats.
Buenavista Renewables is a greenfield renewable energy developer focusing on emerging markets. BVR specializes in utility-scale and distributed generation renewable energy, employing creative financial and technical solutions to develop projects in challenging markets. At present, BVR boasts a pipeline of more than 3 GW in Mexico, the Philippines, the islands of the Western Pacific, Colombia, and Chile.
ESCO is a qualified supplier headquartered services dozens of clients in Mexico, with a particular emphasis on northern Mexico. In addition to market representation services, ESCO also imports/exports electricity from the US and provides electrical and electricity market consulting services.
SOURCE Buenavista Renewables