SolarReserve, partners secure $586m financing for two 75MW solar projects in South Africa
A consortium consisting of utility-scale developer SolarReserve and the South Africa based Kensani Group and Intikon Energy has secured a $586m financing for two 75MW solar photovoltaic (PV) projects in the country.
Financing for the projects was provided by The Ideas Managed Fund, Kensani Capital Investments, GCL-Poly Energy Holdings, SolarReserve and Intikon while the Rand Merchant Bank picking up preference share equity.
The Letsatsi project is located in the Free State while the Lesedi Project is located in the Northern Cape - both developed under the South Africa Department of Energy's (DOE) renewable energy independent power producer procurement program (REIPPPP).
Commenting on the financing SolarReserve CEO Kevin Smith remarked that the closure is a significant achievement for the company's international development and expansion.
"We have further advanced photovoltaic and solar thermal projects in development in the country under this progressive program initiated by the South African government, and look forward to continuing our work here," said Smith
A consortium led by ACS Cobra, along with Gransolar and Kensani Energy EPC, will be responsible for the construction of the facility with power utility Eskom to procure power from the project under a a 20-year power purchase agreement.
Both projects are expected to be completed by the middle of 2014.