Grenergy reaches $345m financial close on ‘world’s largest storage project’ in Chile

July 11, 2024

Spain-headquartered Grenergy has achieved financial close on the $345 million phase 1 and 2 of Oasis de Atacama, what it describes as the “world’s largest storage project”, located in northern Chile.

The financing included a $345 million green loan (equivalent to approximately €322 million) with other complementary credit lines with the financial institutions BNP Paribas, Natixis Corporate & Investment Banking, Societe Generale, The Bank of Nova Scotia and SMBC.

“With this new agreement the company becomes the first globally to sign financing of this size for a hybrid solar and battery project with a syndicate of international banks,” a Grenergy statement said.

Oasis de Atacama is expected to power more than 145,000 homes annually, while reducing the emission of more than 146,000 tons of CO2. This financing covers the first two phases of the project, corresponding to 220MWp of solar and 1.24 GWh of storage.

The first phase is expected to be connected by the end of 2024, while the remaining phases will mostly be connected by 2025.

The project, to which Grenergy will allocate up to $1.4 billion, already has 75 per cent of its energy contracted through various power purchase agreements.

Grenergy’s executive chairman, David Ruiz de Andrés, said: “This operation demonstrates the bank’s confidence in the hybridisation of solar plants with storage, and in Grenergy’s business model, which continues to make progress in becoming a world leader in storage”.

Jean-Valery Patin, co-head of energy, resources & infrastructure finance Americas at BNP Paribas, added: “We are proud to support Grenergy in this transaction and to expand our leadership in renewables in Chile to battery storage and renewables. This is in line with BNP Paribas’ ambitious Low Carbon objectives and commitment to our clients”.