Copenhagen Infrastructure Partners reaches financial close on Mexico's 420 MWdc La Esperanza Solar

The Campeche project on the Yucatán Peninsula combines 420 MWdc of solar with a 150 MW, 5-hour battery, backed by about USD 510 million of debt financing and a long-term PPA, with operations targeted for 2028.

Summary

Copenhagen Infrastructure Partners, through Growth Markets Fund II, has taken final investment decision and reached financial close on La Esperanza Solar, a 420 MWdc solar photovoltaic project with a 150 MW, 5-hour battery energy storage system in Campeche on Mexico's Yucatán Peninsula. The project, described as one of Mexico's largest combined solar-and-storage developments, is backed by about USD 510 million of debt from BNP Paribas, JPMorgan Chase Bank, Natixis CIB, Santander and Scotiabank, with Natixis CIB acting as Joint Bookrunner, Joint Lead Arranger and Green Loan Coordinator. CIP said construction is underway and commercial operations are anticipated in 2028. The project has been recognised as a priority or strategic project by Mexico's Ministry of Energy, SENER, and is intended to strengthen reliability, resilience and flexibility in the National Electricity System while helping address grid congestion and rising power demand in the Yucatán Peninsula. It is also backed by a long-term Power Purchase Agreement with CFE Calificados, the commercial branch for large clients of Comisión Federal de Electricidad.

Terms & Concepts
  • Battery energy storage system: Grid-scale batteries that store electricity and discharge it later to improve power-system flexibility, reliability and resilience.
  • Power Purchase Agreement: A long-term electricity offtake contract that sets terms for selling power from a project to a buyer.
  • SENER: Mexico's Ministry of Energy, the federal energy ministry.