Houston, Texas 1 April, 2020 – Ceiba Energy (“Ceiba”) and its partner, Denham Capital (“Denham”), are pleased to announce the acquisition of the Portocem LNG-to-Power Project, located in the State of Cearà in Northeast Brazil.
The project will be comprised of a combined-cycle power plant, FSRU (Floating Storage Regasification Unit), and associated infrastructure. The site is permitted for up to 2.2 GW and provides an ideal location to connect to existing gas supply and transmission infrastructure. The Portocem project will complement the existing renewable energy base in the region, as well as bolster economic and industrial development in Ceará. The project is expected to create up to 1,000 jobs during the construction period and employ up to 75 people during the operations phase.
Ceiba is developing the project with another Denham-backed company, Rio Energy (“Rio”), an established renewable energy developer in Brazil with 628 MW in operation / construction, 174 MW near construction, and 2.4 GW in the development pipeline. Ceiba and Rio are partnering with leading gas supply & transportation, LNG shipping, OEM, and construction companies. Ceiba intends to participate in a future tender for a power purchase agreement.
Emilio Vicens, CEO of Ceiba Energy, commented: “Ceiba is excited to partner with Rio Energy and leading, global industry partners to deliver a reliable and cost-competitive power generation solution in Northeast Brazil.” Mr. Vicens added, “The Portocem project has the strong support of world-class technical and financial institutions.”
Saurabh Anand, Managing Director in Denham’s International Power Team added: “Our acquisition of the Portocem project is further evidence of Denham’s commitment to build and acquire high returning power assets, particularly in markets with growing power demand. We are delighted to see two of our portfolio companies working in close collaboration and utilizing their impressive track records in the region to take this project forward.”
Notes to Editors
About Ceiba Energy
Founded in 2015, Ceiba Energy is an owner, developer, and operator of power generation assets in Latin America. In particular, the company focuses on delivering renewable, low-carbon and affordable power generation. The Ceiba management team brings an in-depth understanding of Latin American power markets and assets. The team has more than 80 years of combined power generation and energy infrastructure experience in Latin America and emerging markets. For more information, visit www.ceibaenergy.com.
About Denham Capital
Denham Capital is a leading energy and resources-focused global private equity firm with more than $10.0 billion of invested and committed capital across eleven fund vehicles and offices in London, Boston, Houston, São Paulo and Perth. The firm makes direct investments in the energy and resources sectors, including businesses involving international power, oil and gas, and mining, across the globe. Denham’s investment professionals apply deep operational and industry experience and work in partnership with management teams to achieve long-term investment objectives. For more information about Denham Capital, visit www.denhamcapital.com.
About Rio Energy
Formed by Denham Capital in 2012, Rio Energy is a leading developer, owner and operator of renewable energy projects in Brazil. The Rio Energy management team seeks to create value in Brazil through its deep market knowledge, proprietary wind data and access to robust development projects. As of February 2020, Rio Energy owns 484MW of wind projects in operation, 144MW wind projects under construction and a 174MW wind project near construction. For more information, visit www.rioenergyllc.com.
Thomas Pigott (on behalf of Denham Capital)
T: +44 (0)20 3727 1116