Atlantica Expands Transmission Portfolio with New Acquisition
Atlantica Sustainable Infrastructure Ltd has recently made a significant stride by completing the acquisition of a 132-mile transmission line in Uruguay. This strategic acquisition reinforces Atlantica's commitment to expanding its renewable energy portfolio.
Significance of the Transmission Line
The transmission line has been fully operational since 2019 and is governed by a lease agreement with UTE, the national electricity utility of Uruguay. This agreement, valid until 2049, ensures a stable revenue stream for Atlantica. UTE pays a fixed tariff in U.S. dollars that adjusts monthly based on U.S. inflation, providing financial security and predictability.
Comments from Leadership
Santiago Seage, the CEO of Atlantica, expressed enthusiasm about the acquisition, emphasizing that this asset is completely contracted and boasts a low-risk profile. He remarked, "This asset fits perfectly within Atlantica’s existing portfolio of transmission lines in the region, enhancing our operational robustness and market presence."
Current Operations and Future Plans
With the addition of this transmission line, Atlantica's operational transmission lines in South America now stretch over 1,363 miles. The company is not stopping here; it is actively working on expanding its existing infrastructure to meet increasing demand for renewable energy.
Renewable Energy Investments
In Uruguay, Atlantica also owns and operates solar and wind power plants that contribute an impressive total installed capacity of 160 MW. These renewable energy assets strengthen Atlantica's long-standing relationship with UTE and position the company as a key player in the region's energy landscape.
Strengthening Partnerships
The acquisition further reinforces Atlantica's relationship with UTE, a counterparty known for its creditworthiness. UTE has received credit ratings of BBB+/Baa1/BBB from leading agencies including S&P, Moody's, and Fitch. This strong backing provides assurance to Atlantica’s stakeholders about the sustainability of revenues from this investment.
About Atlantica Sustainable Infrastructure
Atlantica Sustainable Infrastructure Ltd. is renowned for its diverse portfolio, which encompasses contracted renewable energy, water assets, and energy transmission capabilities across North America, Europe, and South America. Through these investments, Atlantica aims to drive the transition towards sustainable energy solutions, promoting a cleaner future.
Contact Information
For more information regarding Atlantica’s operations or investment opportunities, the Chief Financial Officer, Leire Perez, can be reached via email at ir@atlantica.com or by phone at +442038076709.
Frequently Asked Questions
What is the recent acquisition by Atlantica?
Atlantica has acquired a 132-mile transmission line in Uruguay, enhancing its renewable energy portfolio.
What are the benefits of this acquisition?
The transmission line offers a fixed tariff structure tied to U.S. inflation, ensuring stable revenue for Atlantica.
How does this impact Atlantica's operations in South America?
This investment brings Atlantica's operational transmission lines in South America to 1,363 miles, solidifying its market presence.
Who is the counterparty for the lease agreement?
The lease agreement is with UTE, the national electricity utility of Uruguay, known for its creditworthiness.
How can I contact Atlantica for more information?
You can reach out to Leire Perez, the Chief Financial Officer, at ir@atlantica.com or by calling +442038076709.
