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Copel and Petrobras Move Forward to the Binding Stage of the Sale of the Araucária Thermoelectric Power Plant

Written by Paulo Nogueira
Published on 01/11/2023 at 04:58
Updated on 01/11/2023 at 05:03
Copel e Petrobras avançam para a etapa vinculante da venda da usina termelétrica Araucária
termelétrica de gás natural Araucária, localizada no Paraná. Foto: Divulgação
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Companies Will Send Email Invitations to Those Interested in the 484 MW Gas-Fired Thermoelectric Power Plant Located in the State of Paraná.

The Paraná Energy Company (Copel) announced this week the start of the binding phase of the divestment process for the Araucária gas-fired thermoelectric power plant, located in Paraná. This plant, which has an installed capacity of 484 MW, is a partnership venture, with Copel holding a 20.3% stake, state-owned Petrobras with 18.8%, and Copel GT with 60.9%.

During this phase, qualified interested parties will receive an invitation letter containing detailed instructions about the divestment process, including guidelines for conducting due diligence and submitting binding proposals. This stage is crucial for selecting the future buyers of the Araucária thermoelectric power plant, which currently has hundreds of job openings.

Copel’s Divestment Plan

The sale of the Araucária thermoelectric power plant is part of Copel’s divestment plan, which aims to optimize its investments and focus on its core activities. In addition to this thermoelectric plant, the company also intends to sell its 20% stake in the Brasympe partnership, which owns the UTE Termocabo located in Pernambuco, and its 20% stake in UTE Suape II, also located in the same state.

Natural gas has proven to be an increasingly relevant energy source in the Brazilian energy matrix. Its use in thermoelectric plants like Araucária contributes to the diversification of the matrix and the country’s energy security. Furthermore, natural gas is a cleaner source compared to other options, reducing pollutant gas emissions.

The Araucária Thermoelectric Power Plant

UEG Araucária S.A., responsible for the Araucária thermoelectric power plant, has a combined cycle plant, which features two gas turbines and a steam turbine. This plant began operation in 2002 and is located close to the Bolivia-Brazil gas pipeline (Gasbol), which facilitates access to natural gas.

With a total installed capacity of 484 MW, the Araucária thermoelectric power plant plays a fundamental role in supplying electricity to the region, contributing to a secure and sustainable energy supply.

Investment Opportunities

The sale of the Araucária thermoelectric power plant represents a significant investment opportunity in the energy sector of Paraná. With the growing demand for electricity in the state and the strategic importance of natural gas in the energy matrix, this venture has significant potential.

Additionally, the partnership with Copel and Petrobras adds further solidity to the project, making it attractive for investors interested in entering the energy market. The expectation is that the divestment process will be successfully completed, bringing benefits both to Copel and to the future buyers of the Araucária thermoelectric power plant.

Environmental and Social Impacts

It is important to emphasize that the sale of the Araucária thermoelectric power plant also comes with the responsibility to mitigate the environmental and social impacts related to this venture. The use of natural gas, a cleaner energy source, already contributes to reducing pollutant gas emissions. However, it is essential that future buyers maintain a commitment to sustainability and adopt practices that minimize the environmental and social impacts of the plant.

The binding phase of the divestment process for the Araucária thermoelectric power plant marks an important step towards realizing this deal. Copel, together with Petrobras and Copel GT, aims to find the best buyers for this venture, which has a strategic location and significant installed capacity.

The sale of the Araucária thermoelectric power plant is part of Copel’s divestment plan, which aims to optimize its investments and focus on its core activities. Additionally, this transaction represents an investment opportunity in the energy sector of Paraná, contributing to the economic and energy development of the region.

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Paulo Nogueira

Graduated in Electrical Engineering from one of the country's technical education institutions, the Instituto Federal Fluminense - IFF (formerly CEFET), he worked for several years in the offshore oil and gas, energy, and construction sectors. Today, with over 8,000 publications in online magazines and blogs on the energy sector, the focus is to provide real-time information on the Brazilian job market, macro and microeconomics, and entrepreneurship. For questions, suggestions, and corrections, please contact us at informe@clickpetroleoegas.com.br. Please note that we do not accept resumes at this contact.

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