The world's largest battery storage project, Oasis de Atacama, secures financing with DNV's support
Market due diligence and risk assessment secure USD 967 million for Chile’s renewable future
Grenergy is a global independent power producer (IPP) specializing in developing, building, and operating renewable energy assets. Active in Europe, North America, and Latin America, Grenergy focuses on solar photovoltaic (PV) and energy storage solutions, contributing to the global transition to sustainable energy. The company is committed to advancing clean energy infrastructure and supporting the decarbonization of power grids worldwide.
Chile expands energy storage to boost grid stability and support carbon neutrality
The global shift toward renewable energy requires substantial investment in battery storage to manage the variability of solar and wind power. Chile, a leader in solar energy, is expanding its storage capacity to enhance grid stability and support its carbon neutrality goals by 2050. Large-scale energy storage projects are crucial in balancing supply and demand, ensuring reliability, and facilitating the integration of renewables into the grid.
Securing financing for large-scale battery storage projects
As Chile accelerates its transition to renewable energy, integrating large-scale battery storage systems is essential to manage intermittency and maintain grid stability. However, securing investor confidence and bank financing for such projects requires comprehensive market analysis, risk assessment, and due diligence to demonstrate long-term viability and profitability.
Comprehensive market advisory services enable successful financing
DNV acted as the market advisor to the bankes, helping secure USD 967 million in financing for four phases of the Oasis de Atacama project. DNV’s expertise in market due diligence, power purchase agreement (PPA) risk assessment, battery revenue optimization, and power price forecasting was instrumental in meeting investor requirements.
A key factor in this success was DNV’s proprietary web-based platform, Power Analytics, which gave real-time access to long-term power price forecasts. Detailed forecast sensitivity analysis, encompassing various scenarios (low, base, high, and lender case), combined with DNV’s advanced battery modeling tools and dispatch strategies, provided a clear view of the feasibility and profitability of large-scale energy storage. These insights were crucial in ensuring the successful financial closure of the project.
Impact:
- Helped secure USD 967 million in financing from top-tier banks
- Strengthened investor confidence in large-scale BESS projects
- Supported Chile’s renewable energy and decarbonization goals
- Enabled grid reliability through optimized energy storage solutions
Key stats:
- USD 967 million in total financing secured from banks, including BNP Paribas, Natixis, Société Générale, Scotiabank, and SMBC
- 3.64 gigawatt hours (GWh) total storage capacity upon completion
