North American solar energy promoter UGE International Ltd (CVE:UGE) said on Wednesday that its 2.7-MW ground-mounted community solar project in Veazie, Maine, has reached notice to proceed (NTP) to construction.
The firm has funding and all permits, including interconnection, in place for this project. It said it had reached financial close earlier this week, securing a USD-12.5-million (EUR 11.6m) debt facility and a USD-7.1-million tax equity facility to bankroll three projects it has in the US state of Maine.
The Veazie project has a total fair market value of USD 9.1 million, based on an independent third-party appraisal that its one watt is worth USD 3.39, according to UGE.
The community solar farm will be located atop a former concrete fabrication and storage site in a area categorised as a low-to-moderate income community. Being a brownfield redevelopment and sited in a community at risk of exclusion will enable the project to qualify for tax credits, UGE said.
The company expects the plant to bring in around USD 449,600 in annual revenues.
Construction of the Veazie solar farm will begin this spring. Energywell will manage customer subscriptions for the project. Once in operation, the entire output from the plant will be consumed by local residents.
(USD 1.0 = EUR 0.928)
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