The HVDC system will be ready for commercial operation in April 2013
- By April Murelio -
AREVA’s Transmission and Distribution (T&D) division has been awarded an order worth approximately US$ 400 million by IE Madeira* for a High Voltage Direct Current (HVDC) transmission link in Brazil.
The system will transport power from the Madeira hydro complex located in the Northwestern Amazon region across the world’s longest transmission line (2,375 kilometers) to reach southeastern Brazil where power consumption is booming.
The Madeira hydro-electric complex is comprised of two power plants, with total power capacity of 6300 MW. AREVA’s HVDC system will convert the alternating current into direct current to ensure minimal losses during transmission across the country. The HVDC system will be ready for commercial operation in April 2013.
"This new contract reinforces AREVA T&D’s position as a market leader in the global HVDC segment. It follows on from successful delivery of the HVDC inter-connection between the Uruguayan and Brazilian networks and various other projects worldwide. Our local and international teams are fully committed to the further development of Brazil’s electricity network and are proud to be selected for this significant project," said Philippe Guillemot, Chairman and CEO of AREVA T&D.
Regarding the sale Sale of the Transmission & Distribution business, AREVA's Supervisory Board met on November 30, 2009 to examine the bids. After review, the Supervisory Board asked the Executive Board to begin exclusive negotiations with Alstom/Schneider.
The consortium offered 2.29 billion euros in equity value, i.e. 4.09 billion euros in enterprise value. The bid does not include any requirement for a seller's warranty but includes a buyer's commitment to maintain all European sites for a 3-year period.
With manufacturing facilities in 43 countries and a sales network in over 100, the group is aiming to strengthen its international presence by developing a balance between Europe, North America and Asia.