News

EDC reports acquisition of 70 percent stake in four projects in Chile, Peru

Concessions of Hot Rock Ltd. in Chile (source: Hot Rock)
Alexander Richter 6 Feb 2012

Energy Development Corp. (EDC) finalizes the acquisition of a 70 percent stake in four geothermal projects in Chile and Peru from Australian Hot Rock Ltd.in a JV agreement with the company.

Reported late last week, Philippine based “Energy Development Corp., reports it has finalized the acquisition of a 70-percent stake in four projects in Chile and Peru. The acquisition was already reported in November, but was just now finalized.

“Energy Development and Australian partner Hot Rock Ltd. signed a joint venture agreement on Feb. 2 to develop the Calerias and Longavi geothermal fields in Chile, and the Quellaapacheta and Chocopata projects in Peru. Energy Development obtained a 70-percent interest in each of the projects.

“We are pleased with the speedy conclusion of the negotiations with HRL as we now look forward to starting exploration work in what we view as attractive geothermal concessions in both Chile and Peru,” Energy Development chairman and chief executive Federico Lopez said.

HRL acquired 23 geothermal tenements across Chile, Peru and Australia. The company has been among the first to identify and obtain some of the most attractive concession areas in Latin America.

As the world’s largest integrated geothermal power producer, Energy Development can accelerate the development of the projects and offer a clean and indigenous source of energy to Chile and Peru.

The partners are looking at the possibility of expanding the scope of partnership by including HRL’s other sites.

A full team of geothermal scientists will be deployed to Chile this month to start development activities on the projects.

Energy Development has also submitted 13 applications for geothermal concessions in Chile, and is looking at opportunities to develop steam fields in Indonesia and Kenya.

“The acquisition of these concessions in Latin America are the first steps in realizing our vision to establish a global presence and further solidify our position as the pre-eminent international leader in geothermal power development,” Lopez said.”

Source: Manila Standard