The Energy Division's first achievement is the signing of a strategic partnership with Pattern Development to create a portfolio of renewable energy projects, according to the cement company.
Cemex established its Energy division to develop power projects and supply approximately 3.0 to 5.0% of Mexico's energy needs over the next five years.
The cement company's CEO, Fernando González Olivieri, said they are enthusiastic about the future of the country's energy sector and will therefore leverage their experience in project development through their subsidiary, which will be led by Luis Farías.
According to the company, Cemex Energía's first achievement is the signing of a strategic alliance with Pattern Development, which is backed by the investment firm Riverstone.
In a statement, the company noted that Pattern has solid, proven experience, which will enable it to build a portfolio of renewable energy projects in Mexico, with the goal of creating significant value through the development of these projects.
In that regard, he explained that both companies will share development costs and that Cemex Energía will have the option to acquire minority stakes in the energy projects developed by the alliance.
«We are very pleased to sign this strategic partnership with Pattern Development. This is a mutually beneficial agreement that will help us leverage our expertise to continue our trajectory as a leader in the clean energy industry and in the use of alternative fuels,» said Luis Farías.
In turn, Mike Garland, CEO of Pattern Development, noted that through this strategic alliance, they have set a goal of jointly developing 1,000 megawatts of renewable energy capacity in Mexico over the next five years.
«Mexico is a natural market for expansion given our operations in Houston and our team’s experience in developing more than 1,000 megawatts of wind projects in California, New Mexico, and Texas,» he noted.
Cemex stated that it will not consolidate the projects of this joint venture and that any debt incurred to finance such projects will have no impact on the parent company.
In addition, he explained, he expects to contribute approximately 30 million dollars (mdd) to his Energy division over the next five years.
