SAN JUAN, PR – PASH Global (PASH) and Oriental Bank in Puerto Rico have closed on a $15 million financing for a joint venture between PASH and PUMA Energy that will enable 200 PUMA gas stations in Puerto Rico to produce and consume solar energy. This project is the first project of its kind and scale on the island.
The PASH-PUMA project will benefit from the Green Energy Incentives Act of Puerto Rico (Act 83) and will require a $26 million investment to install 20,500 photovoltaic solar panels on the rooftops of the selected gas stations. PASH will provide $11 million in necessary equity and Oriental will finance the balance. The project will have an estimated capacity of 18.3 MW and will generate an estimated 28,500 MWh of electricity per annum.
José Rafael Fernández, CEO of Oriental, the banking subsidiary of OFG Bancorp (NYSE: OFG), said: “This project honors our commitment to promote energy diversification and sustainability on the island. It highlights our policy to finance and invest in Environmental, Social and Governance (ESG) efforts. In addition, it will save an estimated 26,700 tons of carbon dioxide per annum as well as reduce costs for the gas station operators.”
Kofi Owusu-Bempah, CEO & Managing Partner of PASH, said: “Reaching this milestone with Oriental has been a culmination of 18 months of close dialogue and a mutual desire to play a long-term role in Puerto Rico’s energy transition. The inherently complex nature of this project meant that we needed to select a financing partner who understood the intricacies of project development, as well as the built-to-suit nature of each of the 200 installations. Oriental was willing to be part of our journey to develop renewables in Puerto Rico. PASH is well positioned to be in Puerto Rico for the long-term. We are delighted to be partnered with a bank such as Oriental on this important project that demonstrates a strong and firm commitment to financing projects with a positive ESG impact.”
Patrick Haggarty, Executive Vice President for Commercial Banking and Trust at Oriental, said: “Thanks to this long-term financing we have provided PUMA gas stations will generate and consume a significant proportion of their own energy. This is significant considering that only slightly over 2% of the energy generated on the island is renewable. The PASH-PUMA joint venture has already launched two local pilot projects at PUMA stations in Guaynabo and Caguas. They are already operational and generate around 285 MWh of electricity for their owner consumption. Once again, Oriental makes it possible for a company operating on the island to say ‘Yes, I can’ when it comes to launching a project and contributing to Puerto Rico’s economy. This time we are also contributing to the well-being of all Puerto Ricans as we help care for our environment.”
Jeffrey Blege, Project Director of PASH, said: “Achieving this milestone was possible through the effective collaboration and existing connectivity that Oriental already has with the project stakeholders and advisors. This spans the legal, technical and insurance space, as well as our joint venture partner, PUMA. Our ambition is to be an important participant in the Puerto Rico renewable energy landscape. We look forward to the prospect of working with Oriental on future projects.”
About Oriental Bank
Oriental Bank is one of the largest banks in Puerto Rico. Founded in 1964, it provides financial services to consumers and businesses. For more information on Oriental Bank, visit: https://orientalbank.com
About PASH Global
PASH Global (PASH) is an impact investor in the clean energy sector. Headquartered in London, PASH was established in 2012 with the intention of using the latest innovations in technology to develop, finance, build, operate and maintain clean energy assets globally. As an impact investor, PASH works to enhance the social and environmental impacts of its Projects. For more information on PASH, visit: www.pashglobal.com
About Puma Energy
Puma Energy is a leading global energy company with a customer-centric approach to safely providing energy solutions around the world. Puma Energy has approximately 2,600 retail sites, a presence in 87 airports and a network of 91 storage terminals. For more information on Puma Energy, visit: www.pumaenergy.com