EDP Brasil completes sale to China Three Gorges of stakes in hydroelectric projects

30 June 2014

EDP Brasil (pertaining to the EDP-Energias de Portugal group) has completed the process of selling 50 percent of the Santo António do Jari and Cachoeira Caldeirão hydroelectric projects in Brazil to the China Three Gorges Corp group, the company announced in a statement.

In this operation, announced in December 2013, EDP Brasil received from the Chinese group via the subsidiary CWEI Brasil Participações 420.6 million reais (US$187 million), the company also indicated in the statement to the market.

The Santo António do Jari hydroelectric project will have a potential of 373 megawatts, while Cachoeira Caldeirão will have installed capacity of 219 megawatts.

“By finishing these operations, EDP and CWEI Brasil Participações consolidate their partnership in the energy market under a balanced shareholder structure with shared control, equivalent rights and decision-making based on mutual consensus,” EDP specifies in the announcement.

The deal was done in the scope of the strategic partnership agreed on in December 2011 by EDP and China Three Gorges, which then became the Portuguese group’s biggest shareholder, acquiring a 21.35 percent stake in the privatisation promoted by the Portuguese state. (macauhub/BR/CN/PT)