ISAGEN acquires seven hydroelectric plants in Colombia

ISAGEN is a Colombian state-owned company that became a subsidiary of Canadian Brookfield Asset Management in 2016.

“At ISAGEN we continue to promote hydroelectricity as a renewable source capable of delivering firm power at low cost, with low environmental impact, consistent with the long-term growth strategy with renewable sources,” the company said in a statement.

ISAGEN reached an agreement to acquire the hydroelectric generation assets belonging to the Latin American Renewable Energy Investment Fund (LAREIF) and which are located in the Colombian department of Antioquia. “With this decision we continue to strengthen our generation matrix, making it more resilient to climate change and contributing to the country's energy transition, in this key stage for the reactivation of the economy,” the company said. ISAGEN is currently advancing in the construction of the Guajira 1 and WESP 01 wind farms in Uribia, which will add 32MW in La Guajira, and has solar initiatives such as the 38MW Llanos 4 and 5 projects in Puerto Gaitán, and which are also under construction, as well as the 100MW Sabanalarga project, which is currently in the development stage.

The company close 2021 with investments totaling close to 3 billion Colombian pesos ($760.4 million), and added close to 200MW hydroelectric generation capacity during the year, with a further 70MW under construction at two wind farms and two solar plants that will come into operation in 2022, and an additional 100MW of solar power that will come on line in 2023.

“These opportunities allow us to meet ISAGEN's corporate objective of creating value with clean energy: generating economic value with renewable sources, with social and environmental profitability, through a clean and reliable matrix, and involving economic, environmental, social and governance criteria, with world-class standards, to continue to stand firm for the future,” the company said. The transaction was facilitated by investment bank HBI Banca de Inversión, part of the Helm Group. HBI has been operating in the Colombian and Latin American market for more than 20 years, ranking as one of the oldest investment banks in the country. HBI has extensive experience in the infrastructure and energy sectors in Colombia and the Americas, with over $1.2 billion of successful financial closures in the energy sector.