Samsung C&T’s Trading and Investment Group and Korean Southern Power (KOSPO) have completed construction on the $600m Kelar gas-fired combined-cycle power plant in Mejillones, Chile.
The power plant, which broke ground in August 2014, has a capacity of 517MW. The facility was connected to the Chilean power grid of Chile in June 2016. The plant will supply its electricity produced to BHP Billiton’s copper mines, including the Escondida project.
The new facility is anticipated to reduce carbon footprint by up to 1.5 million tonnes annually.
Samsung C&T and KOSPO formed a 35%-65% consortium for the project, with Samsung Engineering securing the engineering, procurement and construction contract.
The new plant is the first such private power plant built and operated by Korean companies in Chile.
“The construction of the Kelar power plant is quite notable as it marks the first private power plant constructed and operated by Korean companies in Chile, a market previously dominated by Japanese and US-based construction firms. Samsung C&T has created a strong foothold in Latin America and represents a stepping stone for other Korean companies in the power generation and plant businesses,” Samsung C&T stated.