Recurrent Energy Selling 100 MW of Solar Projects to Mitsubishi, Osaka

Recurrent Energy today announced that it intends to sell a portfolio of Ontario, Canada, solar PV projects to Mitsubishi Corp. and Osaka Gas. The transaction will represent approximately 100 MW of solar power that will be made available to the Ontario Power Authority (OPA). The acquisition is scheduled to occur once the facilities achieve commercial operation.

This acquisition will mark Recurrent Energy’s first sale from its 200 MW portfolio of projects with OPA. Mitsubishi Corporation and Osaka Gas intend to be equal investors in the purchase, while Recurrent Energy will retain a minority stake.

“We’ve worked diligently to develop utility solar projects that appeal to the world’s most experienced energy investors,” said Arno Harris, CEO, Recurrent Energy. “Our partnership with Mitsubishi Corporation and Osaka Gas shows just how far solar has come —  it’s both an attractive investment and an important part of our energy mix in North America.”

The 100 MW portfolio that Mitsubishi Corp. and Osaka Gas intend to acquire is expected to generate more than 110,000,000 kWh during the first year of operation, enough to power approximately 10,000 homes in Ontario.

“Mitsubishi Corporation is aiming to expand our power generation capacity from the current operational level of approximately 3.7 GW to 6 GW, with 1 GW from renewable energy and 5 GW from thermal power by 2015. We have more than 20 years of IPP business overseas and we believe this project to be very attractive, with reliable partners, Recurrent Energy and Osaka Gas,” said Masao Ikeya, General Manager of New Energy & Power Generation Division, Mitsubishi Corporation.

“As a diversified energy company, Osaka Gas has been engaged in renewable energy, including wind and solar power generation, as a long-term, stable investment that also helps achieve a low-carbon society,” said Munehiro  Ito, Senior General Manager, Energy Resources and International Business Development Dept., Osaka Gas. “We recognize Recurrent Energy as a credible, industry leader in developing utility solar projects and are pleased to join as an investor in this portfolio.”

The OPA has locked in 20-year power purchase agreements for each of the projects in the portfolio. The initial stages of project construction for the overall 200 MW portfolio of OPA projects commenced in Spring 2012. All of the acquired projects are expected to be online in 2013.