Cachiyuyo Solar PV Project
Latin America and the CaribbeanOctober 22, 2020
K&M served as a commercial and technical consultant to a private equity group considering the pre-construction acquisition of a 50 MW photovoltaic, fixed-mount solar facility in Chile. K&M was responsible for assessing the technical, engineering, commercial, financial, managerial, operational and environmental issues associated with the project. The project included evaluations of the system design, construction, rack assembly and site conditions in terms of location and solar energy resources, access, and constructability. K&M managed the development of a technical feasibility study for the facility’s grid interconnection, which included estimating construction costs, transmission losses, and transmission charges. K&M performed a long-term revenue forecast of the facility operating as a merchant plant selling energy to the spot market. The market forecast considered multiple potential generation expansions—one based on coal-fired generation and another based on natural gas (LNG). K&M also reviewed Chile’s new renewable energy law and the latest information regarding the development of renewable energy projects in Chile. K&M reviewed key project documents, including solar resource studies, EPC market pricing and terms, O&M price benchmarking and other applicable agreements required for operation. In addition, K&M reviewed the financial model to assist the client in identifying and evaluating project risks and determining appropriate risk mitigation strategies.