Gamesa and SunEdison have signed a memorandum of understanding (MOU) with the aim of co-developing up to 1 GW of wind energy projects by 2018.
Under the terms of the MOU, the two companies would set up a joint venture that is 50% owned by each party for the co-development of wind projects, selected by SunEdison from Gamesa's global pipeline, with a focus on India and Mexico.
Once the projects are ready to be built, SunEdison would acquire them from the joint venture, assuming the financing of their construction with the intent to place them into TerraForm once operational.
At the same time, Gamesa would supply all of the wind turbines as well as, potentially, full engineering, procurement, and construction [no acronym] services for the co-developed projects. It would also operate and maintain the projects co-developed by the joint venture under long-term operations and maintenance agreements.
In addition, SunEdison is committing to the purchase of additional wind turbines from Gamesa for its facilities based on the amount of megawatts co-developed under the scope of the agreement.
The definitive agreements concerning the creation of the joint venture – including initial selection of projects for co-development – are expected to be signed by the end of the year.