Conglomerate Ayala Corp. (AC.PH) said Monday that its wholly-owned unit AC Energy Holdings Inc. signed an agreement for an investment in a $220 million, 81-megawatt wind power project in northern Philippines.
Ayala said AC Energy will fund 64% of the equity investments, and its partners Philippine Investment Alliance for Infrastructure Fund, or PINAI, and UPC Renewables Partners will contribute 32% and 4% of the needed equity, respectively. PINAI was formed by state pension fund Government Service Insurance System, APG and Macquarie Infrastructure Holdings (Philippines) Pte. Ltd.
The power project in the northern province of Ilocos Norte will be undertaken through Northern Luzon UPC Asia Corp. The joint venture company has 200 megawatts of wind energy projects under development.
The project's initial phase is expected to be connected to the Luzon grid by June 2014.
AC Energy already owns 50% of NorthWind Power Development Corp., a company that operates a 33-megawatt wind farm also in northern Philippines.