DNV supports Atlas Renewable Energy in securing financing for 800 MWh battery storage project in Chile

DNV has assisted Atlas Renewable Energy in obtaining $289 million in financing for its inaugural standalone Battery Energy Storage System (BESS) project in Chile. The funding, which includes senior loans and credit lines from BNP Paribas and Crédit Agricole CIB, will support the development of Battery Energy Storage System del Desierto. This project, with a storage capacity of 800 MWh, is one of the largest energy storage initiatives in Latin America.

The Battery Energy Storage System (BESS) del Desierto project is designed to enhance Chile’s energy grid stability and reduce the curtailment of renewable energy. Once completed, it will inject 280 GWh of electricity into the grid annually, improving grid reliability and reducing carbon emissions in a region facing challenges with intermittent renewable energy supply.

DNV played a crucial role in securing financing for the project by conducting market due diligence, assessing the risks tied to the long-term energy purchase agreement, and optimizing the battery system. Additionally, DNV carried out a dispatch analysis, helping Atlas Renewable Energy secure investment from global financial institutions. This support accelerated the project's development, positioning Atlas as a leader in standalone energy storage and furthering their role as a provider of clean energy solutions for large energy consumers across Latin America.

Marian van den Berg, Senior Project Consultant at DNV, noted that the project showcases DNV’s expertise in energy storage market analysis and is a significant advancement for Chile’s energy sector. The detailed risk assessment and market analysis were instrumental in gaining investor confidence, proving that standalone battery storage is a viable investment opportunity in Latin America.

Santiago Blanco, Executive Vice President and Regional Director for Latin America, Energy Systems at DNV, emphasized that the Battery Energy Storage System del Desierto sets a new standard for energy storage projects in the region. He noted that this development addresses Chile’s key energy challenges and opens the door for future investments in sustainable energy. DNV's involvement was instrumental in securing the necessary financing to realize this project.

Chile is leading Latin America’s transition to green energy, taking advantage of the Atacama Desert's world-leading solar intensity. Currently, wind and solar energy supply approximately 33% of the country's electricity demand, surpassing thermal generation. This shift is backed by a strong clean energy agenda aimed at reaching carbon neutrality by 2050. According to the World Economic Forum’s 2024 report, Chile ranks among the top 20 countries globally in energy transition.

Looking ahead, Chile plans to export solar solutions, including storage systems, by 2035, while continuing to build a resilient energy sector capable of integrating renewable energy and reducing emissions. As solar and wind energy production fluctuates, the country will require additional energy storage solutions that are both safe and reliable to ensure the stability of its power grid.