Published on October 2nd, 2013 | by No Artificial
Liberty Interactive Invests $300 million in Abengoa’s Solar Plant, Solana
Abengoa, a power plant developer, said it received $300 million for a solar thermal project from Liberty Interactive Corp.
Abengoa SA (ABG), the international company that applies modern technology solutions for sustainability in the energy, said it obtained $300 million for a solar thermal project from Liberty Interactive Corporation (“Liberty”) (Nasdaq: LINTA, LINTB, LVNTA, LVNTB).
All funds will go for the $2 billion Solana project, that Abengoa is developing in Gila Bend, Arizona.
The project, which is in its final testing stage, has a total installed capacity of 280 gross megawatts (MW) and will be the largest parabolic trough solar plant in the world and the first solar plant in the United States with thermal energy storage.
Parabolic trough is a mature technology that enables clean energy to be produced and stored. The technology offers the lowest cost solar electric solution for large power plant applications.
Solana’s thermal energy storage system has the capacity to store energy for six hours at maximum power, which will allow the plant to produce dispatchable electricity throughout the day and night. The six hours of storage will be able to support the region’s peak electricity demands during the summer evenings and early night time hours.
The electricity will be sold to Arizona Public Service (APS), the largest utility in Arizona through a power purchase agreement with Solana.
The clean energy produced by Solana will be equal to the amount of electricity needed to power 70,000 households. The system will prevent about half a million tons of CO2 from being emitted into the atmosphere per year.
Moreover, Solana has reduced water usage to less than 25 percent of that consumed when the land was used for agricultural purposes. These reductions and changes will help reach state green energy goals and achieve the U.S. national goals for climate change mitigation.
The U.S. Department of Energy (DOE) already has extended a $1.45 billion loan guarantee for the project.
Liberty’s $300 million investment in the limited liability company that holds Solana has been authorized by the U.S. Department of Energy and the Federal Energy Regulatory Commission (FERC). Abengoa will be responsible for the management, operation and maintenance of the solar plant.