Hanwha Energy Kicks Off Construction of Landmark Laguna Solar Power Plant in Mexico

Hanwha Energy held a commencement ceremony on October 17 to mark the construction of its latest power plant in Torreón, Coahuila, Mexico. Among the dignitaries in attendance to officiate the ceremony were Duhyoung Ryoo, CEO of Hanwha Energy, Efrain Villanueva Arcos, the General Director of Clean Energy at SENER, Juan Carlos Ayup, Mayor of Matamoros Coahuila, and Jaime Guerra Perez, the Secretary of Economy and Tourism from the state of Coahuila.

The Laguna Solar power plant will be an investment through Hanwha Energy’s wholly owned subsidiary 174 Power Global Corporation and represent Hanwha Energy’s next landmark project in the North American region. The cost of the project will be almost USD 115 million of which approximately 60% will be financed by Korea Development Bank and a bank in Mexico.

The Laguna Solar power plant will have an estimated production capacity of 125MW and is expected to come on line in March of 2019. It will produce enough electricity to power more than 25,000 homes in the Mexican state of Coahuila. The plant’s electricity will be sold under a 15-year power purchase agreement (PPA) signed by Mexico’s Federal Electricity Commission.

The Laguna Solar power plant will be the perfect opportunity for Hanwha Group to showcase the strength and benefits of a corporate synergy that exists among its solar energy arms. Hanwha Q CELLS, a leading global solar energy solutions provider, will supply 360,000 high quality solar modules that will produce the plant’s electricity. Hanwha Q CELLS will also oversee the plant’s construction.

“The construction of the Laguna Solar power plant is an opportunity for us to gain a foothold in Mexico from which we can pursue further business development opportunities in the region,” said Duhyoung Ryoo, CEO of Hanwha Energy. “The knowledge and experience we gain through this plant will be invaluable as we become a comprehensive energy solutions provider.”

Through its 174 Power Global subsidiary, Hanwha Energy will be involved in all aspects of the North American solar energy market – from conception, development and financing to construction and power plant operations. 174 Power Global is quickly establishing itself as a strong player within the North American solar energy market with current purchase agreements for plants that will generate 1.1GW of power (including the Laguna Solar PPA project) and agreements amounting to 8.4GW of future projects.

All combined, the projects when complete, will go online to generate more than 10GW of power by 2020. It is a telltale sign that Hanwha Energy is on a solid trajectory to be the world’s No. 1 generator of solar energy. In parallel, Hanwha Energy is also working to become a comprehensive energy solutions provider specializing in solar energy-related services, such as plant Operations & Management and Energy Storage Systems.