Approval has been given by the provincial authorities in Argentina for construction of the Chihuido I hydropower project and launch of the tender process.
The 474MW hydro plant is to be built on the river Neuquen, approximately 5km from its confluence with the river Agrio.
Chihuido I is expected to generate 1,800GWh per year, and has a budget of US$900M.
Following floods in 2006, the provincial government of Neuquen said that the project would also bring flood management benefits to the local region.