Canadian Solar has entered into binding contracts to sell interests in three Queensland solar farms to Foresight Solar Fund Limited.
The portfolio consists of Longreach Solar Farm (17 MWp), Oakey 1 Solar Farm (30 MWp) and Oakey 2 Solar Farm (70 MWp), with FSFL acquiring 49 per cent interests in each of Longreach and Oakey 1, and a 100 per cent interest in Oakey 2.
The Oakey 1 and Longreach projects hold 20-year offtake agreements with the Queensland Government and are under construction with connection to the grid expected in March and September 2018 respectively.
Oakey 2 solar farm is expected to connect to the grid in October 2018.
Oakey 1 and Longreach have been funded to date by equity from Canadian Solar, grants from the Australian Renewable Energy Agency (ARENA), and senior debt from the Clean Energy Finance Corporation (CEFC) and Bank of Tokyo-Mitsubishi UFJ.
The completion of the acquisitions is subject to certain conditions being met including consents from relevant stakeholders.
Foresight Group partner Ricardo Pineiro said the company was delighted to have made this solar acquisition in Australia.
“We have enjoyed working closely with Canadian Solar, with whom we look forward to delivering a strong pipeline of future energy projects both in Australia and other international markets,” he said.