AES Colón includes a 180,000m3 LNG storage and regasification facility in Panama
AES Colón includes a terminal for loading trucks for the distribution of LNG. (Credit: GREGOR from Pixabay)
US-based electric power distributor AES has acquired the remaining 49.9% stake in Panama-based energy supplier AES Colón from investment firm Inversiones Bahia.
AES Colón includes a 180,000m3 LNG storage and regasification facility and a 381MW liquid natural gas (LNG)-fired power plant in Panama.
It also includes a dock for ships between 3,000m3 and 160,000m3, a regasification facility and a terminal for loading trucks for the distribution of LNG.
The project was brought into operations in 2018, representing $1.15bn investment, and is backed by contracts for 100% of the output from the generation facility, until 2028.
AES Mexico, Central America and the Caribbean strategic business unit president Juan Ignacio Rubiolo said: “This transaction reaffirms AES’ commitment to Panama and represents a new milestone in the execution of our regional LNG strategy to deliver cleaner, reliable and efficient energy to our clients.
“This acquisition will contribute to maximizing the value of our regional LNG business through the development of important synergies and flexibility across our portfolio.”
The natural gas-based power plant leverages combined cycle technology to ensure efficiency and contribution to the environment.
The company said that the power plant is 50% more efficient and requires one third less water than conventional plants, and the LNG storage facility is adequate to supply AES Colón and new generation plants.
Also, the facility is said to promote development of other uses, including fuel for vehicles and the fuel supply for ships that transit through the Panama Canal.
AES executive vice president and chief financial officer Gustavo Pimenta said: “We are glad to continue executing on our LNG strategy in Central America and the Caribbean.
“This acquisition will position AES to incorporate new strategic partners into these LNG assets and continue unlocking the portfolio’s value.”