Carnegie makes waves in Chile

THE BOURSE WHISPERER: Carnegie Wave Energy has completed a site assessment study for projects using its CETO technology along the Chilean coast and the appointment of a South American Development Partner.

Carnegie has been working in conjunction with its Chilean representative and local development on opportunities for its CETO technology within the South American country.

This resulted in the undertaking of a detailed Chilean site assessment study, which followed on from a previous Chilean wave energy study that found that if only 10 per cent of the theoretical wave resource identified was extractable then potentially 17GW of capacity could be installed off Chile.

 

Chilean wave energy resource assessment. Source: Company announcement

 

Carnegie claims this has the potential to completely power the main Chilean Electricity grid (the Sistema Interconectado Central).

Carnegie’s site assessment study analysed a number of CETO specific criteria.

The company has identified a number of immediately viable CETO sites along the Chilean coast.

Based on the favourable results it achieved from the site assessments, Carnegie has also now appointed the Chilean-based Renewable Energy Development Enterprises (REDE) as its local development partner.

Carnegie and REDE have signed a five year development agreement, under which the companies will work together in building CETO projects in Chile.

“It is a great time for us to move forward formally with our Chilean development partners,” Carnegie Wave Energy chief executive officer and managing director, Dr Michael Ottaviano said in the company’s announcement to the Australian Securities Exchange.

“It is encouraging to see the Chilean government’s efforts over the last few years and the recognition of the role this enormous untapped resource could play.

“Our site assessment results combined with the macro economic factors in Chile gives us the commercial confidence to move forward with our Chilean project development plans.”

The Chilean Government has recently supported wave energy feasibility studies including the deployment of wave buoys for site specific measurements.

It has also enacted Non-Conventional Renewable Energy target legislation to financially incentivise renewable energy development outside of the hydroelectric industry.