Good morning. My name is Daniela, and I will be your conference operator. All lines have been placed on mute to prevent any background noise. This is Cox Energy América's Second Quarter 2022 Earnings Call. There will be a question and answer session after the speaker's opening remarks, and instructions will be given at that time. Today, we have with us Mr. José Antonio Hurtado, Chief Executive Officer, who will give an overview of the factors that influenced Cox's operating results. Mr. Javier García, Deputy Chief Executive Officer, Mr. Enrique González, Global Head of Investor Relations, and Ms. Raquel Alzaga, who recently joined the company as Chief Corporate Officer. They will be discussing the company's performance and strategy as per the earnings release for the second quarter 2022, issued yesterday, Wednesday, July 27.
If you did not receive the report, please contact Cox's IR department and they will email it to you, or you can download it from Cox Energy's website. Please note that this call is for investors and analysts only, and questions from the media will not be taken, nor should the call be reported on. Any forward-looking statements made during this conference call are based on information that is currently available. Please refer to the disclaimer in the earnings release for guidance on this matter. I will now turn the call over to Mr. José Antonio Hurtado.
Thank you, Daniela. Good morning, everyone. Thank you for joining us today. I'm very pleased to be hosting the call and to answer any questions you might have. In line with our corporate and governance strategy, we recently made some changes to our executive team to solidify our management structure. First off, I would like to welcome Raquel Alzaga to the team. She will be the Chief Corporate Officer of the Cox Energy Group and will assume the role of Chief Financial Officer for Cox Energy América.
Likewise, Javier García Arenas will assume new responsibilities as Deputy Chief Executive Officer, while Ignacio Coscolla, who served as corporate vice president, will now be the Chief Sustainability Officer. Raquel Alzaga is highly experienced in the renewable energy sector, having spent most of her career at Naturgy Group, where she held several management positions for more than 24 years in Madrid, Mexico, and Colombia.
She was also CFO at Unión Fenosa International until 2009, where she was later appointed as controlling manager for Latin America. I am sure that Raquel's broad knowledge of the Spanish and Latin American markets, combined with her abilities to manage corporate, financial, and multicultural teams, will help us strengthen our corporate strategy to continue achieving our goals. I would now like to turn the call over to Raquel so that she can introduce herself.
Hello, everyone, and thank you, José Antonio, for the introduction. I am excited to be joining you today. In the past few weeks, I have been working closely with our team to get a better understanding of the company's inner workings and strategy, and get to know everyone. I am sure that we have all the talents and tools necessary to create sustainable products in key markets and expand our international presence with innovative solutions. I am happy to be part of this growing company and look forward to speaking with you again very soon. I will turn the call back over to José Antonio, who will give us further details on Cox Energy strategy.
Thank you, Raquel. Over the past few months, we have been focusing on executing our strategy, and we are already starting to see the positive results from these initial efforts. During the quarter, our main shareholder, Cox Energy Solar, signed a credit facility for EUR 30 million with Barclays Bank Ireland PLC, which was mainly used to finance its subsidiary, Cox Energy América, through an intercompany transaction. This transaction will provide us the liquidity necessary to continue developing our expansion strategy and meet the goals set out for 2022. I am glad to announce that we have formally filed the application in Spain to list Cox's representative shares on BME Growth. The process was carried out by filing the informative report on market entry, DIM, by its Spanish acronym, in compliance with the current incorporation and regulatory requirements of the Spanish stock market.
Once the application is accepted by the competent authorities, we will be able to set up the date to start trading on the Spanish stock exchange. We expect to be fully operational in the coming months. Please keep in mind that July and August are generally slow months in Europe, and thus, we decided to extend the beginning of our operations once activities go back to normal. The dual listing's main objective is to help increase our stocks marketability and allow us to access more investors who are familiar with companies in the renewable energy sector and with market caps similar to Cox. We have made significant progress with acquisition of the European business, which includes a 40% share of Ibox Energy, a photovoltaic renewable energy operation with a mature and growing pipeline that operates mainly in Spain, and energy supplier and commercialization company, which is also in Spain.
We are getting closer to finalizing the transaction, as it has been already approved by Cox Energy board and presented to Ibox Energy current owners. As we have mentioned before, this acquisition will enable us to lay the groundwork for the new structure we have presented for Cox Energy América. Finally, I would like to remind that our business is inherently sustainable. We are strongly aligned with the environment as our business model is centered around the generation of clean and renewable energy. Our goal is to achieve a lasting impact in the communities where we operate by generating positive social, economic, and environmental impacts while following corporate governance best practices. We recently aligned our sustainability goals with the UN's SDGs, sustainable development goals, and divide it into two main categories, environmental and social.
We are committed to preserving the environment through the implementation of new technologies such as renewable energy that reduce environmental impact. Specifically, the SDGs we are aligning to are 7, affordable and clean energy, 11, sustainable cities and communities, and 13, climate action. In the social aspect, the SDGs we have committed to are 8, decent work and economic growth, and 10, reduce inequalities. Turning to corporate governance, we created several committees to guide Cox Energy's operation. As such, as a young company, we are already in a process of continuous improvement in all aspects of the operation and management, such as recruiting the most talented people, institutionalizing our corporate policy, and adapting our operational procedures. I would now like to turn the call over to Javier García, who will share some details about our current portfolio and financial highlights.
Thank you, José Antonio. The project portfolio remained unchanged when compared to the end of 2021 and the third quarter of 2022. Our current portfolio consists of a total of 45 projects, 20 of which are classified under the current portfolio category, as they have already cleared the internal screening process, have made significant progress, and are on track with estimated timeline. As of the end of the quarter, the 20 active projects from the current portfolio are under different classifications depending on their development stage, which 51 MW projects under construction or in operation, 813 MW project in advanced development and backlog, and 355 MW projects in the initial development phase. For further details about the location, site, and stage of each of the projects within the active portfolio, please refer to our most recent earnings release, which was published yesterday.
Even though our portfolio hasn't changed over the past six months, we are still actively looking to maintaining a well-located portfolio, focusing on the regions with favorable regulations and macroeconomic conditions, minimizing our exposure to regulatory change. In the past few months, we have been exploring new opportunities to increase our portfolio. We are preparing to participate in the upcoming energy and power tender for the supply of final distribution service users in Guatemala and Puerto Rico, respectively. Likewise, Cox Energy reached an agreement with a relevant local player to begin project management and development operations in the Puerto Rican renewable energy market through a strategic partnership. Next, I would like to give an update of the projects in our most relevant regions for the next twelve months.
In Chile, the projects are scheduled to start operation this year, such as the project in partnership with Sonnedix, La Meseta, and our project San Javier, continue to make good progress and are advancing as per the timeline. El Sol de Vallenar and some of the PMGD projects have already been licensed. We have also received several non-binding offers from financial institutions to fund these projects, and we are currently working on defining their financial structure. Also, last June, the environmental license for Machalí project was approved, which will allow the construction phase to begin in this 2022. In Colombia, we entered the government's renewable energy tender to assist in the interconnection grid with 10 projects, totaling nearly 400 MW peak. The results of that tender will be defined in the second half of the year.
In Central America, we are focused on two main regions, Puerto Rico and Dominican Republic, given the positive regulatory outlook and the reactivation of renewable energy activity in those regions. In Mexico, the energy commercialization business continues to excel. Revenues from the commercialization business in Mexico contributed the biggest portion of the company's total revenues for the first six months of the year. We expect this business to keep delivering good results for the rest of the year, as well as the initial efforts in the energy generation business. As for financial results, most of our projects are still in the development stage, and we expect them to start bringing significant revenues for the company throughout the year and in the mid-term. In terms of the income statement, as in the previous quarter, revenues have increased significantly, driven mainly by the commercialization of energy in Mexico.
This boosted the company's total income. We also continue to work on improving our cost of expense structure as most of our projects are still in the early stage of the investment and require the injection of funds.
Our financial position is strong. The cash injection from the intercompany transaction for the Barclays credit facility allowed us to reduce our debt with certain suppliers and service providers, strengthening our balance sheet. We will continue to focus on strengthening all lines of our balance sheet as results keep improving in the coming quarters. For more detailed information on our financial results, please refer to our earnings report. It was released recently and is now available on our website. Thank you for listening. Please, operator, open the floor for the Q&A session.
Thank you, Javier. We will now conduct a Q&A session. If you would like to ask a question, please press the Raise Your Hand button located at the bottom of the screen. If you are connected via telephone, please dial star nine. We remind you that all lines have been placed on mute. When it is your turn to ask a question, you will be given permission to speak. You will then be able to unmute yourself and ask your question. We will now pause for questions. All right, our first question comes from Carlos Alcaraz. Please state your company name and then ask your question.
Hello, everyone. Company name is Apalache Analysis. Thank you very much for the call, and congratulations for the results. I have two questions. The first one is, in case that you win the tender in Guatemala and Puerto Rico, how much income do you expect to receive? The last one question is, with the resources obtained from the operation with Cox Energy Solar, will you prioritize the development of any project in the current portfolio?
Hi, Carlos. José Antonio speaking. Talking about Guatemala and Puerto Rico. We are planning in Guatemala to bid around more or less 50 MW. We're expecting to win 50 MW in the next bid that we'll take during this year. We're talking about the renewable energy is more or less 150, 120 MW. So we are planning to obtain more or less 40% of the total amount of MW peak that are involved in this bid. We will see what will happen later, no? Which is the amount of the business we will have, no? In Puerto Rico, the bid is separate in two different bids. One is only for renewable energy.
That, it's more or less 500 MW, and the other one is for storage. That is more or less 200 MW. Our intention is to participate in both bids. I think there will be a lot of possible bidders in the case of Puerto Rico. You know that the regulatory requirements that the U.S. government has launched is that they have to consume renewable energy for 2050. The energy consumption of renewable will be 100%, no? They are in the process of changing the whole amount of capacity that is not renewable. This is the first bid, and for the total amount will be more or less 3 GW for the incoming years.
The issue here is that we are participating with a very good key player in Puerto Rico that has a very good presence. He's very involved in Puerto Rico, and we're very confident of what we will obtain. But we will see. At this moment, we don't know. Once the bid is launched, probably we will have some news, and you will be informed about what we expect, no, in Puerto Rico. But I think our position is very good. We have a term sheet with this key player, and we are planning to participate, and for the next month, I expect that will be the bid launch, no? The other question, Carlos, please can you rephrase again?
Thank you, José. Sure. With the resources obtained from the operation with Cox Energy Solar, will you prioritize the development on any project in the current portfolio?
Well, we have two key countries for us in this moment. One of them is Chile, and Javier has, I think, gone through our position in Chile. We have very good position, talking about utilities and PMGDs, no? And one for us is a, it is a country that has a very good basis, talking about regulatory and how the market works. It is very advanced in the renewable sector. Chile for us is one of the key players and the key countries in which we would like to be. We are working on that, and you will have, for the end of the year, very good news about Chile. The other one is Colombia.
Colombia, we think that will be the next Chile, no? For sure, Mexico will be the next Colombia and Chile in two years or three years, no? At this moment, our strategy is focused on basically in these two countries. Also, we are-
Taking into account what is happening in Central America, there are various opportunities. We talk about Guatemala, or have talked a bit, a few moments ago about Guatemala or Puerto Rico or Panama. If you are talking about where we were going to invest and where we would like to invest in the next months or in the short term or mid term, Colombia and Chile are the main countries in which we would like to be there, no?
Okay. That's clear, José Antonio. Thank you very much.
Thank you. Our next question comes from Martin Mara. Please state your company name and then ask your question. Martin, I believe you're on mute.
Okay. You're still on mute.
I'm sorry, Martin. I think we lost you again.
Okay. Can you hear me?
We can hear you.
Oh, yeah. Okay. Good morning, and thank you for the call. Sorry. I have various questions. The first one is, how much money do you plan to invest in the options in Guatemala and Puerto Rico? The second one is, where do you see your revenues this year? And the third one is, what was the amount of the extraordinary accounting loss that you registered in the quarter?
This is Javier. Regarding how much are we willing to spend in these tenders, actually the participation in this kind of tenders is not that expensive in terms of investment, since we only have, you know, labor hours of our people on the ground taking all the tender papers on how the tender works. We also use bid bonds, but, I mean, the cost of this bid bond is low. We don't spend that much in all the tenders. The benign risk-reward here is huge because, I mean, we spend the time of our people. We spend some, let's say paper regulatory taxes, but are not that high.
This is not an issue for the company because the expenses of this kind of tenders are not investment intensive. Sorry, can you repeat the other questions?
Yeah. The revenues that you expect this year and the amount of the extraordinary charge that you recorded in the quarter?
Yeah. I mean, we are not in the position to release our forecast for revenues. For sure, we'll be quite, I mean, higher than the six months we have already. Okay. We are also expecting the incorporation of Europe. This will depends on the incorporation and the quarter that we finally do the incorporation of the revenues from the European part. Okay. As we have mentioned in previous conference calls, we are boosting our commercialization business, mainly in Mexico. We also have commercialization in Spain. Once we have, we'll be the whole European portfolio under the listed company umbrella.
We really expect, I mean, I won't tell you a figure, but probably will be at least two, three times the revenues we had this semester. Okay.
Okay. The extraordinary accounting loss in the quarter?
Yeah. The extraordinary accounting loss, I mean, is based on several unique and only one-shot cost that we have this semester. Okay? One is the intercompany transaction that we have some costs, you know, regular from this kind of finances. We also have some restructuring costs from our staff team. We have reduced the cost of the team, but we really believe that we have a strong know-how and, you know, with people of quite wide experience such as Raquel. There are some extraordinary charges, but under a non-cash point of view.
For instance, in our Chile project with Sonnedix, we have some impact because we have expected a less future demand on this contract based on the global situation, pandemic, the war and all this macroeconomic stuff. The biggest, let's say, the biggest issue of all of these have been the currency impact. No? We have been really impacted on our currencies in Chile and Colombia, and in the euro currency we also have. So, this is the main issue. It's a non-cash issue, it's an extraordinary issue, and we don't expect that. I mean, this is Forex and we will see the coming quarters, but this has been the main impact on our results.
Okay. Thank you very much, and congratulations for the appointment. Nice to meet you, Raquel.
Thank you. Thank you, everyone. We have not received any further questions at this point, so that concludes our question-and-answer session. I would now like to hand the call back over to José Antonio Hurtado for some closing remarks.
Thank you all for joining us today. Please don't hesitate to reach out to us and to have further questions. We appreciate your interest in Cox Energy América and look forward to speaking with you again soon.
That concludes today's call. You may now disconnect. Have a great day.