Yinson Renewables, an independent renewable power producer, secured a $59 million senior secured green financing for the 97 MWp Matarani solar project located near Arequipa, Peru. IDB Invest and Natixis Corporate & Investment Banking provided the funding.
The project achieved full commercial operations in September 2024 and is backed by a long-term Power Purchase Agreement (PPA) with Orygen, a Peru-based renewable energy supplier and generator.
The project is designed to deliver 260 GWh of renewable energy annually, which is equivalent to the electricity consumed by approximately 62,000 Peruvian households.
Natixis acted as the sole structuring bank, green loan coordinator, and joint lead arranger alongside IDB Invest.
Yinson Renewables acquired the Matarani solar project from Grenergy Renewables in January 2024. Grenergy provided the engineering procurement and construction services for the project and will also provide operation and maintenance services for the first two years.
Following a visit to the project, James Scriven, Chief Executive Officer of IDB Invest commented, “We are pleased to support Yinson Renewables´ first project in the region. This financing is key to Peru’s energy transition to renewable sources. The Matarani Solar project enhances environmental sustainability and demonstrates the vast potential for non-conventional renewable energy in Peru. At IDB Invest, we remain committed to promoting projects that offer innovative financing solutions for the economic and social development of Latin America and the Caribbean.”
In Peru, Yinson Renewables also owns the 130 MWp Majes Project, the first phase of which is expected to be ready for construction by the end of 2024.
According to Mercom’s 9M and Q3 2024 Solar Funding and M&A report, large-scale project funding in 9M 2024 totaled $34.3 billion in 180 deals, up from $27.5 billion in 169 deals in 9M 2023.
In September, Atlas Renewable Energy, a solar and wind project developer, secured a COP 473.77 billion (~$113 million) senior secured loan to develop, construct, and operate the 201 MW Shangri-La solar project in the Tolima Department of Colombia. IDB Invest and Bancolombia provided the financial package.
