13th Mar 2015 09:12
LONDON (Alliance News) - Rame Energy PLC on Friday said it has secured a USD4.7 million funding facility for the Cerro Bay off-grid wind project in Chile.
Rame said investment group Anden Re Capital SpA will provide the USD4.7 million funding in exchange for a 75% equity interest in the project, with Rame to retain a 25% equity interest.
Under the terms of the deal, Anden also will lend Rame USD1.2 million to fund its 25% portion of the equity commitment for the project.
Rame added it is in talks with Anden for the investment group to provide financing for the company's off-grid and smaller on-grid project portfolio.
"We are delighted to have secured the funding for the Cerro Bayo project and to have now commenced construction. We are now firmly on a path to being able to showcase our ability to provide technically innovative and financially attractive energy solutions to our off-grid customers even against short term power purchasing agreements," said Rame Chief Executive Tim Adams.
Rame shares were down 1.5% to 8.50 pence on Friday.
By Sam Unsted; [email protected]; @SamUAtAlliance
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