Acciona Strengthens Its Position In Mexico With €800 M Water Contract

Acciona's contract in Mexico water sectorAcciona's sewage water treatment plant in Atotonilco.

A consortium led by Acciona has been awarded a water management contract in Veracruz (Mexico) for a 30-year period. The contract involves the supply and distribution of drinking water, sewage, treatment of waste water and the management of 50,000 clients in the municipality of Boca del Río.

Acciona has a 69% stake in the project which is valued at 800 million euros. The firm Malibran has 29% and the local town council holds the remaining 2%.

Via its water subsidiary, Acciona will invest 100 million euros to improve the service, of which 80 million will be earmarked for optimising the hydraulic infrastructures.

With this contract, apart from boosting its presence in Mexico where the company has been operating for 40 years, Acciona will increase its experience in the country’s water sector. It has already carried out infrastructure works there, like the sewage water treatment plant in Atotonilco, considered to be the biggest of its kind in the world.

As far as infrastructure projects are concerned, Acciona is part of the consortium which last year won the contract for the ‘macroproject’ to build the new airport in Mexico City.

In terms of clean energy, it’s the leading supplier of this type of electricity in the country, where it has its own installations with 557 megawatts (MW) of wind energy. Between 2018 and 2019, a further 395 MW obtained in recent auctions will be installed.

Acciona’s share price reacted positively to the news of the water contract in Mexico, chalking up a revaluation of 2.2%.