Polaris Infrastructure, a Toronto-based company engaged in the operation, acquisition and development of renewable energy projects in Latin America, has signed a memorandum of understanding to acquire a 10-megawatt run-of-river hydro project in Panama.
Polaris will purchase the construction-ready project, known as Chuspa, from Navitas Holdings.
According to Polaris, minor construction works have been completed already, including road access and foundation preparation for a turbine house. Under the terms of the deal, Polaris will have the option to invest the required equity capital to complete the project, estimated to be between $15 million and $20 million.
Polaris intends to fund the construction with cash on hand.
“The addition of a further run-of-river hydro project provides further geographic diversification by investing in Panama and is in keeping with the strategy of diversification and growth in the renewable sector within the region,” stated
