Casa dos Ventos and Unigel Form 20-Year Partnership to Build New Wind Energy Complex in Bahia

Unigel and Casa dos Ventos Finalize Partnership Worth R$ 1 Billion for Construction of Babilônia Sul Wind Power Complex in Bahia

Unigel, the largest producer of acrylics, nitrogen fertilizers, and styrenic products in Latin America, and Casa dos Ventos have closed a clean energy purchase and sale agreement for a duration of 20 years. This agreement is the first of its kind for the Brazilian petrochemical sector in the wind energy industry and means that the construction of the Babilônia Sul project, which will have a generating capacity of 360 MW, will move forward in Bahia.

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Wind Complex Will Reduce Carbon Dioxide Emissions by 200,000 Tons Per Year

According to Roberto Noronha, president of Unigel, the contract with Casa dos Ventos will ensure that “a significant part” of the energy used by the group, which aims to reduce its carbon footprint, comes from renewable sources.

The expectation is that 200,000 tons of carbon will not be emitted per year, and the executive states that sustainability has become a prerequisite when any project is assessed. Due to being in the process of an Initial Public Offering (IPO), Unigel has not disclosed the capacity acquired alongside Casa dos Ventos.

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The wind power complex in Bahia will receive around R$ 2 billion in investments, and the newly signed contract is part of a future purchase option. If Unigel exercises the option, it will be able to become a partner in the wind power plant and qualify as an independent power producer, securing supplies and achieving even more competitive costs in the market.

Strategic Agreement Between Unigel and Casa dos Ventos Promises to Generate New Jobs

The contract between the two companies will come into effect in 2024, replacing part of the energy from unsustainable sources that are currently being utilized. According to Noronha, the agreement with Casa dos Ventos is strategic, as it places the company on track to achieve the goal of having a significant portion of the energy it consumes sourced from renewable sources, such as wind energy.

After investing R$ 500 million to resume operations in two fertilizer plants leased from Petrobras in Bahia and Sergipe, the petrochemical company announced that it will invest in the first green ammonia production unit in the country, located in Camaçari, Bahia.

The unit, which is set to start operations by the end of 2022, will require the procurement of more energy, preferably renewable, to obtain ammonia through hydrogen from water and nitrogen from the air. According to Noronha, the company is seeking new opportunities for wind and solar energy procurement.

Casa dos Ventos Plans to Turn Its Wind Projects into Hybrid Plants

For Casa dos Ventos, the new partnership will foster the development of the project in Bahia, which will include a total of five special purpose companies. The mobilization of the ventures began this month, and the wind turbines have already been purchased from Vestas.

New agreements focused on the wind power plant are already progressing with clients in the free contracting environment, says Lucas Araripe, director of New Business at the wind company. The executive also states that energy-intensive sectors, such as petrochemical mining, have been significant purchasers of long-term energy contracts.