Wind power project the largest in Central American and Caribbean Region
Miami, Fla., May 6, 2014 – Alvarez Arrieta & Diaz-Silveira LLP (AADSLAW), a South Florida based corporate and transactional boutique law firm, has assisted its client, InterEnergy Holdings, a holding company that owns and operates power generation and distribution assets in Latin America and the Caribbean, in its investment in what is expected to be the largest wind power project in the Central American and Caribbean regions.
InterEnergy agreed with Unión Eólica Panameña S.A. to invest in a wind power project located in Penonme, Panama. With 215MW of total aggregate capacity and a total project investment of US $427 million, the project is expected to eliminate more than 400,000 tons of CO2 emissions and save nearly 900,000 barrels of oil per year when completed.
“This project’s interface risk was particularly complex because it involved negotiations with three contractors, as opposed to a single engineering, procurement and construction provider,” stated founding Partner Pedro “Tony” Alvarez. “This transaction demonstrates our firm’s strength in the renewable energy sector, and I commend the knowledgeable counsel provided by my colleagues.“
In addition to assisting InterEnergy execute its agreement with Unión Eólica Panameña S.A., the firm assisted InterEnergy’s negotiations with Goldwind USA on the turbine supply agreement for the project; with Instalaciones y Servicios Codepa, S.A. on the balance of plant agreement for the project and with Tree Logistics on the turbine equipment transportation and logistics agreement. Further to advising its client on the investment and project development matters, the firm also assisted InterEnergy in connection with a related $100 million bridge credit facility to partially finance the project. Banco Espirito Santo de Investimento, SA acted as mandated lead arranger and book runner for the credit facility. Construction for the project, which has already commenced, is expected to be completed in April 2015.
The Alvarez Arrieta & Diaz Silveira team included Partners Pedro Alvarez, Aracely Alicea and Lauren Hunt, assisted by Associates Colleen Grady and Brian Canida. Attorney Sandra Warren consulted with the firm on the equipment supply agreement with Goldwind USA.