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Voltalia SA
Voltalia SA: first corporate long-term power sale contract of 64 MW signed
with leading Brazilian food company BRF
14-Nov-2018 / 17:55 CET/CEST
Dissemination of a French Regulatory News, transmitted by EQS Group.
The issuer is solely responsible for the content of this announcement.
With this new contract, Voltalia exceeds EUR4 billion of future revenues
secured by long-term sales agreements
Voltalia (Euronext Paris, ISIN code: FR0011995588), international player in
renewable energies, has signed a corporate power sales agreement with BRF,
one of the world's largest agribusiness companies with 100,000 employees in
140 countries. The new contract will increase the size of Voltalia's VSM 2
wind farm project from 64 MW to 128 MW. Voltalia's total cumulated future
revenues under secured long-term sales contracts now exceeds EUR4 billion.
Voltalia's first long-term power sales contract with a corporate client in
the free market
With a strategic focus on non-subisidized markets, Voltalia had signed since
2014 numerous short- and medium-term power sales contracts in the free
market, in order to sell at a high price the electricity produced between
the accelerated commissioning and the beginning of the long-term power sales
contract. Those private contracts captured the value created by Voltalia's
technical ability to accelerate construction of power plants.
Based on that successful free market track record, Voltalia announces that
it has signed with its new client BRF its first long-term corporate power
sales contract, running for 10 years from January 2021. Once the contract
ends, Voltalia will sell the production through new short- or long-term
private power sales contracts.
A world leading agrifood company as long-term business partner
Voltalia is proud to partner with BRF. With operations in over 140
countries, BRF is a global food company headquartered in Brazil and listed
both on the São Paulo and New-York stock exchanges.
Third largest player in the poultry sector globally,.BRF owns production,
logistics structure and service capacities in six different regions:
Europe/Eurasia, Latin America, Brazil, Africa, Asia, and the Middle
East/North Africa. Today BRF operates over 50 factories, more than 40
distribution centers, 34,000 suppliers around the world supported by a
workforce of over 100,000.
Increase of Voltalia's VSM 2 wind farm project, further surpassing the 2020
target
Thanks to this new contract with BRF, Voltalia will increase the size of its
VSM 2 wind farm project from 64[1] MW to 128 MW. The new contract increases
to 1,040 MW Voltalia's expected capacity in operation for the end of
2020[2].
As for most Voltalia projects in Brazil, construction of the extra 64 MW
will be accelerated. Turbines are scheduled to be progressively commissioned
in the course of 2020, therefore producing electricity which will be sold on
the free market until the beginning of the BRF contract in January 2021.
The VSM 2 project is part of the Serra Branca cluster. With a potential of
nearly 2 GW, it is one of the largest renewable energy sites in the world.
The cluster's potential will continue to be developed by Voltalia with the
possibility for each new project to be either owned by Voltalia or sold to
third-party investors.
Voltalia in Brazil: key figures
Voltalia is a leading player in Brazil with an outstanding track record. The
local team, established in 2006, has developed a portfolio of sizeable
projects including:
· 433 MW currently in operation, located in the Serra Branca cluster
(wind), in São Miguel do Gostoso (wind) and in Oiapoque (hybrid
thermal/solar);
· 298 MW with power sale agreements already secured, to be built in the
upcoming years in the Serra Branca cluster (wind) and Oiapoque (hydro to
complement the hybrid installation);
· 2.7 GW of projects under development[3], mainly located in the states of
Rio Grande do Norte and Bahía, mostly relying on solar and wind energy.
"This new contract is another illustration of the many opportunities
available on a market where renewable energy is, by far, the cheapest source
of electricity. This contract will not only lower BRF's power cost during 10
years, it will also benefit Voltalia as our selling price is more than 50%
higher than the tariff of the existing 20-year contract secured for the VSM
2 project in August. Thanks to our accumulated experience on the free
market, we can offer attractive opportunities to corporate clients across
Europe, Africa and Latin America" comments Sébastien Clerc, Chief Executive
Officer of Voltalia.
"With this contract, Voltalia has passed a major milestone with over EUR4
billion of cumulated future revenues secured by long-term sales contracts:
an outstanding level for a 1 GW portfolio", adds Sébastien Clerc.
About Voltalia (www.voltalia.com [1])
· Voltalia is an international player in the renewable energy sector. The
Company produces and sells electricity generated from wind, solar, hydro
and biomass power plants; it owns a total installed capacity of 524 MW as
of today.
· Voltalia is also a service provider, assisting its investor clients
active in renewables at each project stages, from conception to operation
and maintenance.
· With over 490 employees in 18 countries over 4 continents, Voltalia is
able to act worldwide on behalf of its clients.
· Voltalia has been listed on the Euronext regulated market in Paris since
July 2014 (FR0011995588 - VLTSA) and is a component stock of the Enternext
Tech 40 index and the CAC Mid&Small index. The Group is also included in
the Gaïa-Index, an index for socially responsible midcaps.
Voltalia Actifin
Chief Administrative Officer: Marie de Press Contact: J. Jullia
Lauzon
+33 (0)1 56 88 11 11
Investor Relations: invest@voltalia.com
+33 (0)1 81 70 37 00
=---------------------------------------------------------------------------
[1] 60 MW at the time of the auctions, optimized to 64 MW shortly
afterwards.
[2] The secured VSM 2 extension was originally at 42 MW.
[3] As of June 30, 2018; projects developed to be owned or to be sold
together with additional services.
Regulatory filing PDF file
Document title: VEN
Document: http://n.eqs.com/c/fncls.ssp?u=FCXXJCMHLJ [2]
Language: English
Company: Voltalia SA
84 boulevard de Sébastopol
75003 Paris
France
E-mail: invest@voltalia.com
Internet: www.voltalia.com
ISIN: FR0011995588
Euronext Ticker: VLTSA
AMF Category: Activity of the issuer(acquisitions, sales...)
End of Announcement EQS News Service
746017 14-Nov-2018 CET/CEST
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2: https://link.cockpit.eqs.com/cgi-bin/fncls.ssp?fn=redirect&url=1227071f86aa9161f66837fe948f4a8b&application_id=746017&site_id=vwd&application_name=news
(END) Dow Jones Newswires
November 14, 2018 11:56 ET (16:56 GMT)
