An energy producer company Shell and Brazilian steel company Gerdau are all set to develop a 260MWp solar PV project.
The duo has signed an agreement for a 50-50 joint venture for the development, construction and operation of the project.
The solar PV project is based in the solar hotbed state of Minas Gerais. The project will be built in 2023.
As per the official report, the "plant will supply half the power produced to Gerdau’s steel production units in Brazil, with the other half traded on the country’s growing free market via Shell Energy Brazil."
According to Shell, the partnership with Gerdau is likely to enable the development of approximately one-third of the total capacity of the solar park.
“We are taking another important step in building a robust portfolio of renewable energies in Brazil, reinforcing the diversification of our businesses, always in line with our purpose of providing more energy and in an increasingly cleaner way,”
Shell’s director of renewables and energy solutions at Shell Brazil, Guilherme Perdigão, remarked.
In recent, Brazil’s solar sector has boomed, while utility-scale capacity additions are also on the rise.