China-based Envision Energy has agreed to acquire a controlling stake in portfolio of wind projects in Mexico from Vive Energia, with a power generation capacity of more than 600MW.
Both companies have also signed a strategic deal to develop the projects to the final stage by the end of this year.
In addition, the companies will begin construction of the first wind farm early next year.
Envision’s Latin America and the Caribbean director Rafael Valdez Mingramm said: "This investment is considered China’s largest direct investment in Mexico in the renewable energy space and will take advantage of bilateral cooperation agreements and lines of credit that are in place."
The alliance has set a goal of developing and operating 1.5GW of projects by 2020.
Envision executive director Felix Zhang said: "Mexico is one of the most promising markets in the Americas for wind power generation in the coming decade, not only a result of the energy reform but also given its untapped wind resources, viable projects and off-takers, as well as the interest of equity sponsors and lenders."
Recently, Spain’s Banco Santander and its wind-turbine supplier Gamesa Tecnologica applied for environmental permits for the 242MW El Sauzal wind park in Mexico.
Mexico currently has an installed wind capacity of 2,500MW.
The country has wind farms under construction in Oaxaca, Tamaulipas, Jalisco, La Laguna and south-eastern regions.
According to AMDEE, the Mexican Wind Energy Association, the country’s installed wind capacity is expected to increase by nearly 30% this year with the start-up of six new wind farms with power generation capacity of 730MW.