The agreement also calls for making $70m capital investment by the company over the next six years under a refurbishment program to upgrade these hydro power plants.
In Armenia, the Vorotan Hydro Cascade accounts for roughly 15% of the installed capacity of the nation’s electricity system, generating enough energy to power 250,000 homes.
As per the agreement, ContourGlobal’s wholly owned subsidiary ContourGlobal Hydro Cascade will be responsible for owning and operating the Vorotan Hydro Cascade, and will supply electricity to the Armenian grid under a long-term power purchase agreement.
According to ContourGlobal, the modernization of the three hydro power plants would create 150 near-term jobs in addition to the 150 long-term technicians employed at the plants.
ContourGlobal president and CEO Joseph Brandt said the agreement is the result of having about two years of partnership with the government of Armenia and its agencies.
"We are thrilled to have the opportunity to play an integral role in the Armenian power system and to make a significant and lasting contribution to a key part of the country’s infrastructure," Brandt added.
