Independent solar power producer Etrion Corp (STO:ETX) today said it has secured USD 33 million (EUR 31m) of project financing for a 13.2-MWp solar project in Japan.
The loan is provided by Sumitomo Mitsui Trust Bank Ltd.
The 13.2-MWp Komatsu scheme in Ishikawa prefecture is the fourth utility-scale solar project to be built under Etrion's partnership in Japan with Hitachi High-Technologies Corp (TYO:8036). Etrion will own 85.1% of the plant, while Hitachi High-Technologies will hold the remaining 14.9%.
Construction-related works are due to start in February next year, Etrion said, and the facility is expected to be fully up and running by the second quarter of 2018. Under a 20-year power purchase agreement (PPA) with Hokuriku Electric Power Co Inc (TYO:9505), it will receive JPY 32 (USD 0.29/EUR 0.27) per kWh.
"Once we close the previously announced sale of our Italian assets we will be in a very strong financial position to further accelerate our growth in Japan," said chief executive Marco Northland. Etrion recently announced a deal to sell its 60-MW portfolio in Italy to a joint venture of Enel Green Power SpA and Fondo Italiano per le Infrastrutture (F2i).
(JPY 100.0 = USD 0.903/EUR 0.852)
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