Iberdrola wins tender from CFE to build U$400 Million Combined Cycle Power Plant in Northern Mexico 


Iberdrola wins tender from CFE and will invest U$400 million to build a combined cycle power plant in Escobedo, Nuevo Leon, Northern Mexico.  Construction will begin in 2016.


CFE will purchase the electric power energy produced by this plant with a contract for a period of 25 years.


The project will have a generation potential of 850 watts.  The estimated investment by Iberdrola of U$375 million approx in the construction of the power plant by Iberdrola provides CFE a savings of approximately U$100 million from the original budget of U$475 million.


Iberdrola will be responsible for the construction, operation and maintenance of the power plant and energy generation which should commence operations in July of 2018.  The objective is to satisfy the growing demand for electric power in the North Eastern region of Mexico.


The combined cycle plant will be located in the municipality of Escobedo, Nuevo Leon, and will administer electric power energy to more than 2 million Mexicans.


Alongside the construction of the power plant, related infrastructure and installations will begin to connect the power generated to the Mexican national electric system.


The power plant will include two of the most recent generation turbines and additional equipment from Japan's Mitsubishi Hitachi Power Systems (MHPS) and Foster Wheeler will supply the generators.


Iberdrola presented the most economical price level generation (PNG) among all competing proposals for the tender with a price point of 0.4737 Mexican Pesos per Kilowatt per Hour.


Source: CFE


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