MANILA, Philippines — AC Energy Inc., the energy platform of Ayala Corp., expands its renewable energy footprint in Vietnam with the construction of a 170-megawatt (MW) wind project with its partner.
In a disclosure to the Philippine Stock Exchange yesterday, AC Energy said it signed a shareholders’ agreement with The Blue Circle to jointly construct, own and operate the Mui Ne Wind Farm located at the Binh Thuan province, southeastern coast of Vietnam.
The Mui Ne Wind Farm, which has a potential capacity up to 170 MW, is AC Energy’s first wind project in Vietnam.
AC Energy accounts for over 62 percent of the economic ownership including its 50 percent direct voting stake.
“Mui Ne project will be AC Energy’s first wind power project in Vietnam. AC Energy is very keen to participate in the fast-growing Vietnam power sector, with pioneering investments in renewable energy,” AC Energy International chief operating officer Patrice Clausse said.
“We are delighted to partner with The Blue Circle, and this strategic partnership builds on our combined expertise, strong financing capabilities, and robust development pipeline,” he said.
Construction of the 40-MW first phase will commence immediately with an estimated cost of $92 million. This will be financed by debt and equity.
The first phase is expected to be completed in the first half of 2020, in time for the new wind feed-in-tariff deadline of November 2021.
AC Energy and TBC awarded Vestas the supply and installation contract for 10 V150-4.2 MW wind turbines, as well as a 10-year AOM5000 energy-based service agreement.
The Vestas V150-4.2 MW wind turbine is considered as one of the highest producing turbines in the industry and is thus expected to deliver a competitive cost of energy for the project.
In November last year, AC Energy through its subsidiary AC Energy International Holdings Pte. Ltd,. acquired a 25 percent ownership of TBC, as well as co-investment rights in TBC’s projects.
AC Energy and TBC will jointly develop, construct, own and operate TBC’s pipeline of around 2,000 MW of renewable energy projects across Southeast Asia, including 700 MW in Vietnam.
TBC developed and constructed one of the first wind farms in Vietnam, Dam Nai JSC, while AC Energy owns and operates the first wind farm in Southeast Asia, North Wind Power.
Apart from the wind project, AC Energy also partnered with AMI Renewables Energy Joint Stock Co. to build solar farms totaling 80 MW in the provinces of Khanh Hoa and Dak Lak, and with the BIM Group of Vietnam to jointly develop over 300 MW of solar power projects in Ninh Thuan province.