(July 25, 2007) The Matte group has started to seek out non-conventional sources of renewable energy. The business conglomerate joined with the Independence Investment Fund Monday to create a fund that seeks to raise US$ 100 million which will be devoted to renewable energy projects.

"We made an initial contribution of US$10 million, and if necessary, we could donate more. We are inviting other investors to join this initiative. The idea is that bio-mass, wind, hydropower, geothermic, and solar projects begin to operate before 2012,” said the general manager Colbún Bernardo Larraín Matte.

The Independence Fund will administrate the finances of the new fund, which is expected to operate for 10 years.

The Matte group will also invest US$120 million in new projects concerning renewable energy sources, which will bring over 100 MW to the Interconnected Central System. The system is expected to operate between 2008 and 2012.

Meanwhile, Matte group announced Monday that their investment in the ambitious Aysen dam project can surpass the predicted US$ 4 billion if the 9,000 hectares they planned to flood to construct the four power stations and their reservoirs is reduced. Bernardo Matte, the president of Colbún, affirmed that this would make the project less profitable.

The businessman clarified that “the project is feasible and we are optimistic, but it isn’t certain that the reduction will be thirty percent. In September we will have clarity on the issue.”

SOURCE: LA TERCERA
By: Alejandro Gac-Artigas (editor@santiagotimes.cl)