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Wind energy: ArcelorMittal and Casa dos Ventos announce an investment of R billion in Bahia – Economy

Wind energy: ArcelorMittal and Casa dos Ventos announce an investment of R$4 billion in Bahia – Economy

Brussels – Steel Group Arcelor Mittal This Tuesday, the 18th, it announced the creation of a joint venture with wind house To develop a wind power project in Bahiawith an investment of US$800 million (approx 4 billion Brazilian reals). ArcelorMittal Brasil will own a 55% stake in the joint venture and Casa dos Ventos, from the renewable energy sector, will own the remaining 45%.

Arcelor Mittal added that the agreement was approved by the Administrative Council for Economic Defense (KED) on April 13, and will be concluded within the next 15 days.

project name Babylon, aims to secure and decarbonise a large part of ArcelorMittal Brasil’s future electricity needs. It is estimated that the project will provide 38% of ArcelorMittal’s total electricity needs by 2030.

It continues after the announcement

The steel group explained that the Babylonia project will be located in the central region of Bahia, due to several competitive advantages, including a short distance (23 kilometers) to connect to the national electricity grid.

He added that there is a possibility to expand the project’s capacity by adding another 100 megawatts of solar energy to the 554 megawatts of wind energy expected when the project is launched. The investment is currently in the regulatory and environmental licensing stage, with commencement of works scheduled for this year and commissioning in 2025.

ArcelorMittal Brasil will sign a 20-year energy purchase and sale agreement with the electricity supply joint venture.

Pascal Rossignol/Reuters

ArcelorMittal Brasil will own 55% in the joint venture and Casa dos Ventos from the renewable energy sector will own the remaining 45% Photo: Pascal Rossignol/Reuters

The Babilônia project is the third strategic renewable energy partnership established by ArcelorMittal last year. In March 2022, the company announced a partnership with Greenko Group in India to develop a 975 MW solar and wind power project.

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In Argentina, ArcelorMittal has partnered with PCR for a 130 MW wind and solar project, which provides over 30% of ArcelorMittal’s domestic electricity needs. / EFE