Endesa Chile Cleared by Court to Build $1.4 Billion PlantMatt Craze
Chile’s Supreme Court revoked an injunction against Empresa Nacional de Electricidad SA’s Punta Alcalde power project, allowing the Santiago-based company to go ahead with construction. Shares surged.
In a split ruling, judges overturned an appeals court decision to accept an injunction against the project on behalf of fisherman and local communities, the judiciary said in a statement on its website today.
The decision allows Endesa to proceed with the $1.4 billion coal-fired plant that will increase power generation in a region where mining companies Barrick Gold Corp. and Teck Resources Ltd. are developing copper and gold mines.
Endesa’s shares climbed 3.5 percent to 794.68 pesos in Santiago, the steepest gain since Oct. 30.