Capim Branco partners to invest US$261mn

The Capim Branco de Energia consortium (CCBE) that is developing the Capim Branco I and II hydroelectric projects in Brazil's Minas Gerais state will invest 750mn reais (US$261mn) in the next three years on the projects, newspaper Jornal do Commercio reported. The projects have respective capacities of 240MW and 210MW, and will start operations in January and December 2006. "All of the power generated will be consumed by the four partners, in proportion to the participation of each one in the consortium," CCBE chairman Henrique Di Lello Filho said. The owners are industrial conglomerate CVRD (48%), Minas Gerais state power company Cemig (22%), Comercial Paineiras (18%) and the Votarantim group's Companhia Mineira de Metais (12%). Construction work is being undertaken by a consortium of Brazilian construction firms Andrade Gutierrez, Construtora Norberto Odebrecht and Quieroz Galvao, and a consortium of Germany's Voith Siemens and Vatec is supplying electro-mechanical equipment, including three 80MW Francis turbines for Capim 1. Construction started in September this year.