Watson Farley & Williams (“WFW”) has advised a consortium of lenders comprising DEG – Deutsche Investitions- und Entwicklungsgesellschaft mbH (DEG), Kreditanstalt für Wiederaufbau (KfW) and Nederlandse Financierings-Maatschappij voor Ontwikkelingslanden N.V.(FMO), as well as KfW IPEX-Bank GmbH as facility agent, on the $167m financing of the Vientos Los Hércules onshore wind farm project in the southern Argentine province of Santa Cruz.
The financing is partly guaranteed by Germany’s export credit agency Euler Hermes and is one of the first non-recourse project financing transactions in Argentina since its international debt restructuring. The project, which reached financial close in December 2017, was developed and is owned by French renewable energy company Total Eren S.A. (formerly EREN Renewable Energy S.A.). Following completion, it will have a total installed capacity of 97.2 MW and will consist of 27 wind turbine generators of 3.6 MW each, supplied by Senvion GmbH.
The WFW team advising the lenders was led by Hamburg finance Partner Dr Stefan Kilgus, supported by Senior Associate Dr Pascal Unger and Associates Vivien Vacha and Dr Matthias Abendroth. Corporate Energy Partner Stefan Hoffmann and Associate Thomas Rieck advised on the project-related aspect of the deal. The team worked closely throughout the transaction with local Argentine counsel Bruchou, Fernández Madero & Lombardi.
Stefan commented: “We are delighted to have advised the lenders on one of the first non-recourse project financing transactions in Argentina in recent years. Not only does it highlight the growing opportunities in the Latin American renewables sector in general and in Argentina specifically, it also reinforces WFW’s standing as a leading global law firm for cross-border energy projects”.