Canadian Solar to sell 70 per cent stake to SPIC

Canadian Solar has agreed to sell its 70 per cent stake in Brazil’s Marangatu and Panati-Sitiá solar farms to SPIC Brasil for an undisclosed sum. The two solar projects will have a combined generating capacity of 738 MW and will cover a land area of 2,200 hectares. The projects are in advanced stages of development and are located in the states of Piaui and Ceara in Brazil’s north-eastern region.

Construction on the projects is expected to begin later in 2022, with commercial operations commencing in 2023. The Marangatu project will have a capacity of 446 MW, while the Panati-Sitiá project will have a capacity of 292 MW. Once completed, the projects are expected to be two of Brazil’s largest solar power plants. Long-term power purchase agreements have been struck with Canadian Solar for approximately 75 per cent of the electricity generated by the Marangatu and Panati-Sitiá projects. The remaining 25 per cent will be offered for sale on the free market.

In July 2021, Canadian Solar received $100 million in financing from two Brazilian banks to help it develop and build solar projects in Brazil. The financing arrangement with banks BTG Pactual and Itau BBA would support up to 70 per cent of Canadian Solar’s equity commitments in its Brazilian project portfolio

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