Coro Energy inks solar PPA with Vietnamese textile manufacturer

Coro Energy Plc (LON:CORO) has clinched a power purchase agreement (PPA) for a 5-MW rooftop solar plant in Vietnam that forms part of a 150-MW photovoltaic (PV) project bundle.

The UK-based and southeast Asia-focused company said in a bourse filing on Monday that Vietnamese textiles manufacturer Phong Phu has committed to buying the output 3 MW of solar capacity coming from a 5-MW rooftop PV plant. The deal has a term of 25 years.

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The 5-MW rooftop project is expected to be ready to build in 2022.

The electricity will be supplied to Phong Phu at a price of USD 0.073 (EUR 0.064) per kWh, with a 1% annual escalator. Coro Energy estimates that the PPA will bring revenues of between USD 9 million and USD 11 million over the contracted period.

The off-take deal was signed by Coro Renewables Vietnam, a joint venture between Coro Energy and Vietnam’s Vinh Phuc Energy JSC. The entity, in which Coro owns 85%, was set up late in 2021 to co-own a 150-MW portfolio of commercial and industrial (C&I) rooftop solar projects in Vietnam.

(USD 1.0 = EUR 0.917)