December 11 (Renewables Now) - London-listed investment company US Solar Fund Plc (LON:USF) said Tuesday it will purchase six solar projects with a combined direct current (DC) capacity of 39 MW in North Carolina from developer Cypress Creek Renewables.
Solar installer Horne Brothers Construction is to begin constructing the projects this month and all of them are expected to be completed in the second half of 2020. All six projects have a power purchase agreement (PPA) with Duke Energy Corp (NYSE:DUK) with a weighted average term of 13.2 years. Operations and maintenance services to the projects will be provided by Cypress Creek, according to the announcement.
US Solar Fund plans to invest USD 35 million (EUR 32m) in cash in the acquisition and construction of the projects. The deal is due to be completed this month.
The company has entered binding agreements after first announcing talks of the potential portfolio purchase in June. As part of an exclusivity arrangement between the two companies, US Solar Fund considered buying projects with a DC capacity of about 90 MW, but the six projects it is acquiring are in line with its investment strategy and timing requirements, it said. This is the company's second acquisition.
(USD 1.0 = EUR 0.9)