Innergex adds solar in $11.1M deal
Innergex Renewable Energy is acquiring the 27 megawatt Stardale Photovoltaic Solar Project in East Hawksbury, Ont. from Enfinity, an Ottawa-based solar project developer, for $11.1 million.
LONGUEUIL, Que.: Innergex Renewable Energy Inc. is acquiring the 27 megawatt Stardale Photovoltaic Solar Project in East Hawksbury, Ont. from Enfinity, an Ottawa-based solar project developer, for $11.1 million.
Innergex, a Longueuil, Que.-based renewable energy company with hydroelectric facilities and wind energy projects in North America, sees solar as a safe and lucrative addition to its energy sources.
“We have been studying the solar industry for quite some time now,” said Michel Letellier, president and CEO of Innergex. “The solar technology is proven, reliable and simple, and we believe the construction and operational risks are minimal. In addition, the sun provides for a very stable and predictable resource which Innergex believes will result in the Stardale Project generating a stable stream of cash flows for the next 20 years and beyond.”
Construction of the Stardale Project began in November and is to be completed by February 2012. It’s being developed on two parcels of land totalling 300 acres in the Russell County and consists of a ground-mounted PV array system, which is to include approximately 144,060 SolarWorld SW 230 polycrystalline PV modules and 54 inverters.
Output is estimated at 39 gigawatt-hours, or enough to provide electricity to approximately 2,600 homes.
The energy will be sold through three Renewable Energy Standard Offer Program Contracts with the Ontario Power Authority at $420 per megawatt-hour, over a 20-year term.
Innergex forecasts EBITDA of $15 million during the first full year of operation.
Enfinity is continuing with the project as the EPC contractor, handling engineering, procurement and construction worth about $118 million.