Canadian Solar closes sale of Brazilian project to Gas Natural unit

Canadian Solar Inc (NASDAQ:CSIQ) announced today it has concluded the sale of the 80.6-MWp Guimarania solar project in Brazil to a unit of Spanish utility Gas Natural Fenosa (BME:GAS).

The solar power company has sold the scheme, whose capacity is expandable to 83 MWp, to Global Power Generation (GPG).

"This is the fourth project, which we have successfully developed and sold in Brazil, following the 399 MWp Pirapora project portfolio. With the 476 MWp of projects awarded in the last two energy auctions, Canadian Solar has developed over 955 MWp of solar projects, with long-term PPAs awarded, in the country." said Shawn Qu, the company’s chairman and CEO.

When announcing the deal for Guimarania I and Guimarania II, GPG said it expects to invest some EUR 95 million (USD 117.5m) in their development.

Located in Minas Gerais state, the two assets have 20-year power purchase agreements (PPAs) with the Brazilian government and are expected to start power generation in the fourth quarter of the year. These facilities are estimated to produce 165 GW annually and sell their output at a price of EUR 97.5 per MWh.

GPG, a joint venture between Gas Natural Fenosa and the Kuwait Investment Authority (KIA) dedicated to international business, has a current portfolio of 3,000 MW, the firm noted last month.

(EUR 1 = USD 1.237)

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