AES to build Panama’s first LNG-powered CCPP

The AES Corporation said that its unit, Gas Natural Atlantico, has been awarded a deal by the Electric Transmission Company, the state’s electric transmission company, to supply 350 MW of new capacity.

The project will include the construction of a 350 MW combined-cycle natural gas-fired plant with a 10-year power purchase agreement, and a 170,000 cbm LNG storage tank and regasification facility, to supply gas to the plant, as well as to potentially serve growing demand for natural gas in Central America, the company informed in a statement.

AES expects to sign the 10-year PPA by the end of 2015.

Construction of the project is expected to begin in early 2016, with commercial operations expected in 2018.

The total project cost is expected to be in the range of $800 to $900 million, which will be financed with a combination of non-recourse debt, equity from partners and AES equity of up to $210 million.

Image: AES