Enel, through its US renewable subsidiary Enel Green Power North America Inc. (“EGPNA”), started construction of the around 450 MW High Lonesome wind farm in Upton and Crockett Counties, in Texas. The energy generated by a 295 MW portion of the wind farm will be hedged through a Proxy Revenue Swap (“PRS”), a risk management strategy aimed at minimising price and weather-related risks. Investment in the construction of High Lonesome amounts to approximately USD 600 million and is part of the investment outlined in Enel’s 2019-2021 strategic plan. The project is currently financed through the Group’s own resources and is expected to enter into operations by the end of 2019. Once fully operational, the wind farm will be able to generate around 1.7 TWh annually, while avoiding the emission of over 1.1 million tons of CO2 per year. Enel has entered into a PRS for a 295 MW portion of the project with insurer Allianz Global Corporate & Specialty Inc.'s Alternative Risk Transfer unit (Allianz), and Nephila Climate, a provider of weather and climate risk management products. The PRS is a financial derivative agreement designed to produce stable revenues for the project regardless of power price fluctuations and weather-driven intermittency, hedging shape risk in addition to risk associated to price and volume. Under this agreement, High Lonesome will receive fixed payments based on the expected value of future energy production, with adjustments payed depending on how the realised proxy revenue of the project differs from the fixed payment. The PRS for High Lonesome, which is the largest by capacity for a single plant globally and the first agreement of its kind for Enel, was executed in collaboration with REsurety Inc., a leader in renewable energy risk management and information services.