Golar LNG’s joint venture with Stonepeak Infrastructure Partners, Golar Power Limited, has reached COD on the 1.5GW Porto de Sergipe I power project.
On March 21 Golar Power received its commercial operations certificate from the Brazilian Electricity Regulatory Agency ANEEL, allowing the commercial operations to commence at the 1.5 GW Sergipe power station.
The first integrated LNG-to-power project in Brazil and the largest and most efficient thermal power station in Latin America, the project also includes a dedicated LNG import and regasification terminal using the Golar Nanook, a newbuild FSRU with 170,000-cbm of LNG storage capable of supplying more than 21.0 million cubic meters per day of natural gas.
Golar LNG (GLNG) owns 25 percent of the power station through its 50 percent investment in Golar Power.
In 2015 the project was awarded 25-year 1.5 GW power purchase agreements at the government promoted A-5 Power Auction. The power station will now start to deliver electricity to a pool of 26 power distribution companies across the country until December 2044.
Under the terms of the PPAs, the project has guaranteed annual capacity payments of approximately 1.6 billion Brazilian Real ($311.1 million), adjusted annually for local inflation, together with pass-through of fuel and operating costs according to dispatch.