NEW SOLAR POWER PLANT MONEY FOR SPAIN

Abengoa secures E.ON as partner for solar plants
Peter Dinkloh, Tom Kaeckenhoff and Jonathan Gleave (w/Will Waterman), November 25, 2009 (Reuters)

"Spanish renewable energy company Abengoa will team up with German utility E.ON to build two solar mirror plants in southern Spain, benefiting from E.ON's cash and large grid expertise.

"E.ON will pay half of the overall investment of 550 million euros ($828 million) for the two plants, which have a capacity of 50 megawatts each, giving Seville-based Abengoa access to the finance power of the world's largest utility by sales…"

Abengoa specializes in solar power tower technology (click to enlarge)

"Spain has not yet released a list of solar mirror plants included in its new renewables register, which grants subsidies on normal electricity prices of about 27 eurocents per kilowatt hour, but the companies are confident the plants will be included…

"Abengoa, which has already started building the two plants in Ecija, close to Seville, and plans to start producing power in 2011 and 2012, respectively…"

click to enlarge

"Both companies plan to extend the partnership to further develop solar power in Spain and will study future projects on a case-by-case basis.

"The plants use the sun to generate steam that powers turbines, a technology called solar-thermal as opposed to solar cells…"