KUALA LUMPUR (June 22): Yinson Holdings Bhd has agreed to collaborate with Chile-based renewable energy developer Verano Capital Holdings SpA to undertake renewable energy projects in Chile, Colombia and Peru.
In a bourse filing, the company said the collaboration, which will be carried out through its wholly-owned subsidiary Yinson Renewable Pte Ltd, has initially targeted to progress a pipeline of over 800 megawatt (MW) of utility scale solar projects, of which 330MW are expected to be consented to within the next six to 12 months.
“Yinson and Verano will focus on completing the consenting process for the most advanced projects in this collaboration, and subject to Yinson’s final investment decisions, Yinson and Verano aim to begin construction on the first 100MW within the next six months,” it added.
Due to their strategic locations, Yinson said these projects are expected to enable the group and Verano to offer attractive power offtake prices to energy buyers.
Yinson’s chief executive officer (CEO) for renewables David Brunt said this collaboration with Verano represents a unique opportunity to drive the group’s expansion in renewable energy and take part in the continent’s vast growth in the green energy space.
Meanwhile, Verano’s CEO Dylan Rudney said the group is excited to announce this collaboration with Yinson which allows them to grow quickly in several different geographies.
“We share common goals and values, with their ambition to become a leading independent power producer (IPP) for renewable energy, their speed and commitment to drive the global transition to a net carbon-zero future. Combining global scale and project development expertise means that we can provide the most attractive clean energy solutions for the market,” Rudney added.
Founded in 2012, Verano has sourced, provided initial investments and developed renewable energy projects in Latin America for nearly a decade. Verano has an existing portfolio in excess of 1 gigawatt (GW), with 23 sold projects in operation generating 284,900 megawatt hour (MWh) of clean energy and offsetting 258,602 tonnes of carbon dioxide per year.
Yinson diversified into renewables in 2019, and targets to become one of the leading clean energy IPPs globally. The group said its renewables footprint is rapidly expanding, positioning the segment as a major revenue stream.
Last year, it established the green technologies division with the aim of accelerating the transition to a net carbon zero world through investments in green technologies.
Apart from renewable energy and green technologies, Yinson is also involved in offshore production and offshore marine businesses.
Yinson shares closed down two sen or 0.4% to RM4.97, for a market capitalisation of RM5.47 billion. There were 474,000 shares traded.
Year to date, the stock has fallen 15% from RM5.82 on Jan 4.