- Commissioning of Innergex's largest storage facility to
date
- The facility is expected to generate CAN$11.4 million in annual
revenues over its first full year of operation, which includes the
contribution of capacity payments
LONGUEUIL, QC, Oct. 30,
2023 /CNW/ - Innergex Renewable Energy Inc. (TSX:
INE) ("Innergex" or the "Corporation") is pleased to announce that
its 50 MW/250 MWh (5 hours) Salvador battery facility located on the site
of Innergex's existing Salvador
solar facility in Northern Chile
has begun operations and is injecting energy to the grid.
The Salvador battery facility
is Innergex's first utility-scale battery storage site and among
the first installed in Chile. This
achievement will not only serve Innergex in providing stable energy
to the grid with its diversified portfolio of complementarity
assets, it will also support the country in the decarbonization of
its energy sources. Combined with the rest of the Corporation's
portfolio of wind, solar and hydro assets, this facility will
support a growing supply demand for 24/7 renewable energy
production and contribute to increasing returns on energy
production.
"The commissioning of our largest storage facility to date is a
significant addition to our portfolio that showcases our commitment
to sustained growth and long-term value creation," said
Michel Letellier, President and
Chief Executive Officer of Innergex. "The facility will enable
Innergex to leverage surplus solar production and enhance revenue
optimization by aligning with market trends and demand in
Chile, while capacity payments
will bring important additional revenues to the facility's revenue
streams. We regard battery storage as a very attractive technology
for Innergex's growth and we look forward to developing additional
renewable energy and complementary battery storage initiatives to
seize the abundant opportunities before us."
The Salvador battery facility
is located on the site of the 68 MW Salvador solar facility in
the Atacama Desert, a region with one of the highest solar
irradiance potential in the world. The renewable energy
produced by the solar facility is stored during the day to be
dispatched to evening hours to benefit from peak prices on the
merchant market at times of greater demand. This enables the
storage facility to avoid daytime congestion and support the grid
upon peak energy demand and optimize the project's returns.
The facility will start benefiting from capacity payments by the
end of 2023. Combined with capacity payments, the Salvador battery facility is expected to
generate annual revenues of approximately US$8.2 million (CAN$11.4 million) in its
first full year of operation, while operating, general and
administrative expenses are expected to reach US$0.9 million (CAN$1.2 million) during the same
period.
The facility is already fully financed through Innergex's green
bonds issuance completed on August 5, 2022.
About Innergex Renewable Energy
Inc.
For over 30 years, Innergex has believed in a world where
abundant renewable energy promotes healthier communities and
creates shared prosperity, which led to Innergex being recognized
as Canada's best corporate
citizens in 2023 by Corporate Knights. As an independent renewable
power producer which develops, acquires, owns and operates
hydroelectric facilities, wind farms, solar farms and energy
storage facilities, Innergex is convinced that generating power
from renewable sources will lead the way to a better world.
Innergex conducts operations in Canada, the United
States, France and
Chile and manages a large
portfolio of high-quality assets currently consisting of
interests in 86 operating facilities with an aggregate net
installed capacity of 3,579 MW (gross 4,226 MW) and an energy
storage capacity of 409 MWh, including 40 hydroelectric
facilities, 35 wind facilities, 9 solar facilities and 2 battery
energy storage facilities. Innergex also holds interests
in 12 projects under development with a net installed
capacity of 747 MW (gross 849 MW) and an energy storage
capacity of 355 MWh, 4 of which are under construction,
as well as prospective projects at different stages of development
with an aggregate gross installed capacity totalling 9,352 MW. Its
approach to building shareholder value is to generate sustainable
cash flows, provide an attractive risk-adjusted return on invested
capital and to distribute a stable dividend.
To learn more, visit innergex.com or connect with us
on LinkedIn.
Cautionary Statement Regarding
Forward-Looking Information
To inform readers of the Corporation's future prospects, this
press release contains forward-looking information within the
meaning of applicable securities laws ("Forward-Looking
Information"), including future-oriented financial information or
financial outlook within the meaning of securities laws, such as
information regarding the estimated targeted revenues and
operating, general and administrative expenses of Operating
Projects, and other statements that are not historical facts. Such
information is intended to inform readers of the potential
financial impact of expected results, of the expected commissioning
of Development Projects, of the potential financial impact of
completed and future acquisitions and of the Corporation's ability
to sustain current dividends and to fund its growth. Such
information may not be appropriate for other purposes.
Forward-Looking Information is based on certain key assumptions
made by the Corporation, including, without restriction, those
concerning hydrology, wind regimes and solar irradiation;
performance of operating facilities, acquisitions and commissioned
projects; project performance; availability of capital resources
and timely performance by third parties of contractual obligations;
favourable market conditions for share issuance to support growth
financing; favourable economic and financial market conditions; the
Corporation's success in developing and constructing new
facilities; successful renewal of PPAs; sufficient human resources
to deliver service and execute the capital plan; no significant
event occurring outside the ordinary course of business such as a
natural disaster, pandemic or other calamity; continued maintenance
of information technology infrastructure and no material breach of
cybersecurity.
For more information on the risks and uncertainties that may
cause actual results or performance to be materially different from
those expressed, implied or presented by the forward-looking
information or on the principal assumptions used to derive this
information, please refer to the "Forward-Looking Information"
section of the Management's Discussion and Analysis for the three
months ended June 30, 2023.
SOURCE Innergex Renewable Energy Inc.