Endesa Chile's board of directors executed right of first refusal and acquired a 50% stake in Gas Atacama from investment firm Southern Cross for US$309 million.

The two parties would have 30 days to sign off on documents and contracts to wrap up the Gas Atacama transaction, Endesa Chile said.

Endesa Chile already owns the other half of Gas Atacama. Initially founded by CMS Energy (United States, 50%) and Endesa (Spain, 50%), GasAtacama Holding began operations in mid 1999.

GasAtacama owns and operates a 1,200km-gas pipe that transports natural gas from north-western Argentina to the Atacama Plant (which it both owns and operates), and also transports gas from the GNL reception and regasification terminal in Mejillones (Chile's second region) to the Taltal Power Plant owned by Endesa, which generates electricity for users of the Chilean central energy system.

GasAtacama's electricity generation is covered by the Atacama Power Station, a combined cycle plant fired by natural gas or diesel, located on the Bay of Mejillones, 50km north of the city of Antofagasta. The plant has two 370 MW generator units, each with two gas turbines and one steam turbine.

Endesa Chile is the largest electric utility company in Chile. Endesa Chile also owns a 51% stake in the controversial HidroAysén project in Aisén Region, which would build 5 hydropower dams on two of Chile's largest wild rivers, the Baker and the Pascua.