AES Solar and Met Life Announce the Financing and Start of Construction of its Ilumina Project – a 24 MW Solar Photovoltaic Power Plant in Puerto Rico – The First Utility Scale Solar Project on the Island
ARLINGTON, Va.--(BUSINESS WIRE)-- AES Solar, a joint venture between The AES Corporation (NYSE: AES) and Riverstone Holdings LLC, announced today that one of its subsidiaries, AES Ilumina, has closed earlier this month on a construction loan, term loan, and tax equity non-recourse financing facilities provided by MetLife, a leading provider of insurance, employee benefits and financial services with operations throughout the United States and the Latin America, Europe and Asia Pacific regions. CP Energy served as financial advisor to AES Solar on this transaction, and Cornerstone Financial Advisors served as financial advisor to MetLife.
AES Ilumina has begun construction of the 24 MW photovoltaic power plant located in Guayama, Puerto Rico. The construction will be led by Global Energy Services, USA, a Philadelphia based construction firm. AES Ilumina will sell all of its output to the Puerto Rico Electric Power Authority (PREPA) under a 20-year power purchase agreement. It purchased land for the project from the Puerto Rico Industrial Development Company (PRIDCO). The plant is expected to begin production in the summer of 2012. Approximately 200 jobs will be created during construction.
“We are honored to have been selected to develop, finance, and operate Puerto Rico’s first utility scale solar energy project. Ilumina is a good example of how we were able to leverage AES’ existing presence in the market to expand into a renewable platform. This power plant is also the first investment in our planned expansion into the US solar market. We look forward to future investments in order to support further energy diversification on the island,” said Robert Hemphill, CEO of AES Solar.
“The AES Ilumina project is an added value to Puerto Rico’s capacity of attracting foreign direct investment as it addresses our needs of diversifying energy sources, including renewable, clean and plentiful solar energy. We appreciate this partnership with AES Ilumina as it is key to ensure our economic growth,” stated the Secretary of the Department of Economic Development and Commerce and executive director of PRIDCO, Hon. José Pérez-Riera adding that the Ilumina was the first to be awarded economic incentives under new legislation incentivizing investments in renewable energy generation.
About AES Solar
AES Solar is a joint venture between The AES Corporation and Riverstone Holdings LLC and was formed to develop, own and operate utility scale photovoltaic solar installations around the world. AES Solar currently has 191 MW in operation or under construction in the United States, Spain, Greece, Italy, France, Bulgaria, and India with substantial development activity in other countries. For more information visit www.aes-solar.com.
MetLife, Inc. is a leading global provider of insurance, annuities and employee benefit programs, serving 90 million customers in over 50 countries. Through its subsidiaries and affiliates, MetLife holds leading market positions in the United States, Japan, Latin America, Asia Pacific, Europe and the Middle East. For more information, visit www.metlife.com.
About Riverstone Holdings LLC
Riverstone Holdings LLC, an energy and power-focused private equity firm founded in 2000, has approximately $17 billion under management across six investment funds, including the world’s largest renewable energy fund. Riverstone conducts buyout and growth capital investments in the midstream, exploration & production, oilfield services, power and renewable sectors of the energy industry. With offices in New York, London and Houston, the firm has committed approximately $16.0 billion to 79 investments in North America, Latin America, Europe and Asia. For more information, visit www.riverstonellc.com.
About The AES Corporation
The AES Corporation (NYSE: AES) is a Fortune 500 global power company with generation and distribution businesses. Through its diverse portfolio of thermal and renewable fuel sources, AES safely provides affordable and sustainable energy in 28 countries. AES’ workforce of 29,000 people is committed to operational excellence and meeting the world's changing power needs. AES’ 2010 revenues were $17 billion, and it owns and manages $41 billion in total assets. To learn more, please visit www.aes.com.
The AES Corporation Safe Harbor Disclosure
This news release contains forward-looking statements within the meaning of the Securities Act of 1933 and of the Securities Exchange Act of 1934. Such forward-looking statements include, but are not limited to, those related to future earnings, growth and financial and operating performance. Forward-looking statements are not intended to be a guarantee of future results, but instead constitute AES’ current expectations based on reasonable assumptions. Forecasted financial information is based on certain material assumptions. These assumptions include, but are not limited to, AES’ accurate projections of future interest rates, commodity price and foreign currency pricing, continued normal levels of operating performance and electricity volume at AES’ distribution companies and operational performance at AES’ generation businesses consistent with historical levels, as well as achievements of planned productivity improvements and incremental growth investments at normalized investment levels and rates of return consistent with prior experience.
Actual results could differ materially from those projected in AES’ forward-looking statements due to risks, uncertainties and other factors. Important factors that could affect actual results are discussed in AES’ filings with the Securities and Exchange Commission, including, but not limited to, the risks discussed under Item 1A “Risk Factors” in AES’ 2009 Annual Report on Form 10-K. Readers are encouraged to read AES’ filings to learn more about the risk factors associated with AES’ business. AES undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
Any Stockholder who desires a copy of the Company’s 2009 Annual Report on Form 10-K filed on or about February 25, 2010 with the SEC may obtain a copy (excluding Exhibits) without charge by addressing a request to the Office of the Corporate Secretary, The AES Corporation, 4300 Wilson Boulevard, Arlington, Virginia 22203. Exhibits also may be requested, but a charge equal to the reproduction cost thereof will be made. Stockholders may also obtain a copy by visiting the Company’s website at www.aes.com.