Update regarding Energia del Sur S.A.

RNS Number : 3570C

Rurelec PLC

12 April 2017

 

Rurelec PLC

("Rurelec" or the "Company")

Update regarding Energia del Sur, S.A. 

The Directors of Rurelec (AIM:RUR), the owner, operator and developer of power generation capacity in South America, have been informed that on 31 March 2017 the 136 MW CCGT power plant in Southern Patagonia, Argentina, in which Rurelec has a 50 per cent. interest, suffered damage during severe bad weather. Following the storm, problems with the transmission lines led to a fire in a power switch between transformers. Work is ongoing to repair the damage and ensure the power plant is safe to return to normal operation.

Initial reports suggested that the repair should be concluded in approximately 30 days. However, the Directors have now been informed that the availability of certain replacement parts is such that the power plant may not be able to resume operation for a period of 60 days or more.

The Directors note that Energia del Sur S.A., which owns and operates the power plant, has business interruption insurance in place and at this stage the Directors cannot be certain of the effect, if any, that the power outage will have on Rurelec.

A further announcement will be made as necessary.

For further information please contact:

Rurelec PLC	W H Ireland
Simon Morris, Director Andy Coveney, Director	Paul Shackleton and James Bavister
Tel: [phone]	Tel: [phone]

 

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