ENERGO-PRO buys hydropower plant in Brazil, and will become the largest Czech investor in Latin America

The purchase is financed by a combination of ENERGO-PRO's own funds and external sources. Once the necessary regulatory approvals are in place (expected during summer of 2025), the Baixo Iguaçu plant will be the largest energy source in ENERGO-PRO's portfolio in terms of installed capacity. The company currently operates over fifty hydropower plants in five countries around the world, with a presence in Bulgaria, Georgia, Spain and Türkiye in addition to Brazil. Total installed capacity now stands at 1,500 MW. With the inclusion of Baixo Iguaçu, ENERGO-PRO Group's installed capacity will increase to 1,850 MW. This compares, for example, with the capacity of Mochovce nuclear power plant in Slovakia.

The new acquisition confirms ENERGO-PRO's solid position on the Latin American energy market. Together with seven smaller power plants with a total installed capacity of 90 megawatts, which the company bought last year, it is now acquiring a modern large hydropower plant. Moreover, it is constructing another hydropower plant, Chorreritas, in Colombia which is expected to begin operations next year. "The growth of ENERGO-PRO's portfolio in Brazil is a strategic step in the geographic diversification of our Group, helping us to strengthen our resilience to hydrological, geopolitical and economic risks," said ENERGO-PRO’s CEO Jakub Fajfr on the signing of the agreement. 

ENERGO-PRO historically focused on three key markets - Bulgaria, Georgia and Türkiye. In the last two years, however, it has significantly expanded its portfolio with the addition of 10 hydropower plants in Galicia, Spain, and is now also making significant inroads in Brazil. "The acquisition of the Baixo Iguaçu plant also brings significant benefits in terms of financial stability, as power sales there are secured by long-term Power Purchase Agreements, which are adjusted annually for inflation," added Jakub Fajfr. 

Following this acquisition, ENERGO - PRO will have invested in eight hydropower plants in Brazil with a total installed capacity of 440 MW and an enterprise value of approximately EUR 500 million. 

ENERGO-PRO is buying the Baixo Iguaçu power plant from the Brazilian company COPEL, which previously owned a 30% stake in the plant, but took 100% control this year. 

Basic information about the Baixo Iguaçu power plant:
·  The power plant regulates the flow of the Iguaçu Falls and guarantees a minimum flow even in dry periods. The Iguazu Falls are the largest waterfall system on earth and one of the 7 new natural wonders of the world.

·  Commissioning: 2019

·  Installed capacity: 350 MW

·  Annual production: 1,584 GWh 

·  3 Kaplan turbines

·  Reservoir size: 32 km2

·  Transmission line: 60 km

·  Concession valid until: 2049

·  Production of clean, affordable and renewable energy covering the needs of 1 million Brazilians (8% of the annual consumption of the state of Paraná) 

·  Total investment in the construction of the plant (2014-2019) EUR 500 million

·  Purchase price (100%): BRL 1,554 million, after net debt, the plant's enterprise value is over BRL 2 billion

·  More information on: https://baixoiguacu.com.br