Wärtsilä is to begin construction in November of two power plants in the Brazilian state of Maranhao after being awarded a EUR159 million engineering, procurement and construction contract by a consortium of local energy providers.
The Finnish engine manufacturer is to build two new power plants with a combined capacity of 331 MW in the city of Miranda do Norte. The order is the fourth received from Brazil by Wärtsilä this year.
The Geramar 1 and 2 power plants will add flexibility to the region’s power system, which is dominated by hydropower. They will operate on high viscosity heavy fuel oil (HFO), a domestic fuel, and are scheduled tol be fully operational before the end of 2009.
The contract calls for the turnkey construction of two facilities, each consisting of 19 Wärtsilä 20V32 engines. Wärtsilä says it is currently negotiating a separate operation and maintenance contract with the customer, Geradora de Energia do Maranhao, which is a consortium made up of Brazilian energy providers Grupo Servtec, Grupo Ligna and FIP Brasil Energia.
The Geramar plants are expected to be operational for around 2000 hours per year between December and April, when water reservoirs are low. The energy generated will be sold to 36 distribution companies under a contract auctioned by Brazilian energy regulator Aneel in July 2007.