PARIS, Dec. 2 (UPI) -- French energy company GDF Suez has won a bid to build and operate a 500-megawatt thermal power plant in southern Peru, its chief executive officer said.
"With this new project, we will consolidate our leading position as a power producer in the country and as an important contributor to the economic and social development of Peru," Gerard Mestrallet said in a statement.
The company has been in the Peruvian power market since in 1997, Mestrallet said.
GDF Suez, operating through its subsidiary EnerSur, said it would invest $500 million in the power plant, which is to begin operations in 2017. The project is backed by a 20-year investment agreement with the Peruvian government.
GDF Suez said the plant would run on diesel but eventually switch to natural gas.