SAO PAULO (Reuters) - French power company Engie SA is in talks to buy a wind power project in Brazil from local firm Renova Energia SA, according to a document from Brazil’s power sector watchdog Aneel seen by Reuters on Tuesday.
Engie’s subsidiary in Brazil, Engie Brasil Energia SA, is handling the negotiation. The companies, however, depend on approval of proposed changes in the project by Aneel to close the deal, the value of which has not been disclosed.
According to the document, Renova asked the Brazilian regulator to allow the likely buyer of the complex, Engie, to postpone the deadline to start operations for four of 22 wind parks included in the project, called Umburanas, in the northern Bahia state.
According to the existing license to build and operate Umburanas, all parks should be operating by 2019.
Renova and Engie did not respond to requests for comments.
Controlled by Brazil’s Companhia Energética de Minas Gerais SA , Renova has sought to sell some of its assets recently to reduce debt, while Engie has said it is looking to increase its holdings in Brazil’s renewable energy industry.
Reporting by Luciano Costa; Writing by Marcelo Teixeira; Editing by Sandra Maler and Dan Grebler