GE Energy Financial Services and YPF Energía Eléctrica have secured around $220m project financing for two jointly-owned thermal power facilities in Argentina.
Currently under construction, the 267MW Tucumán thermal power project and 107MW Loma Campana II facility are located in the Tucumán and Neuquén provinces, respectively.
The project financing has been jointly led by Citi, Credit Suisse, and Export Development Canada (EDC).
YPF's chief financial officer Daniel González said: “This project finance is an important milestone for YPF as it completes the funding of all our power projects under construction, therefore proving the ability of YPF Energía Eléctrica to continue to grow with its own balance sheet.”
The 267MW thermal power plant will feature a GE 9F.04 gas turbine, while the Loma Campana II project will be powered by a GE LMS100 gas turbine. While the Loma Compana II project is expected to commence commercial operations in December this year, the Tucumán facility will become operational in February next year.
GE is the engineering, procurement, and construction (EPC) contractor for both the projects.
Once operational, each project will divest generated power to the state-run wholesale electricity market administrator Compañía Administradora del Mercado Mayorista Eléctrico (CAMMESA) under two separate ten-year power purchase agreements (PPA).
The two PPAs were awarded last year as part of the Government of Argentina’s ‘Fast Power’ tender. GE supplied equipment, comprising 9F, LMS100, and TM2500 gas turbines, to seven projects across the country with a total capacity of 896MW.