Photon Energy and Canadian Solar enter into co-development financing deal for 1.14 GWp Australian solar pipeline


Photon Energy NV announces that Canadian Solar will become a shareholder and provide development financing to complete the development of five of its Australian utility scale solar projects totalling 1.14 GWp.

Photon Energy NV announced today that as a result of its development partner selection process managed by its financial advisor Pottinger, the company has signed an agreement for the joint development of five of its utility scale solar projects with a total capacity of 1.14 GWp in New South Wales, Australia with Canadian Solar, one of the world’s largest solar power companies.

Photon Energy’s utility scale solar project pipeline, the largest pipeline in Australia, includes the to-date fully-owned 316 MWp project in Gunning as well as four projects co-developed with a local partner, namely the 178 MWp project in Mumbil, the 165 MWp project in Gunnedah, the 286 MWp project in Suntop and the 196 MWp project in Maryvale, all of which will be further co-developed with Canadian Solar.

Canadian Solar will acquire a 51% shareholding in all five project companies. The equity capital contributed by Canadian Solar is subject to certain development milestones, joint management processes and other terms customary for project co-development and covers the development budgets to bring all five projects to the ready-to-build stage. Post-transaction, Photon Energy NV will retain a 49% stake in the Gunning project and 24.99% stakes in the four other projects.

“Canadian Solar is delighted to partner with Photon Energy and bring 1.14 GWp into the market,” commented Dr. Shawn Qu, Chairman and Chief Executive Officer of Canadian Solar. “As a very active developer for solar power plants in Australia, we will continue to strengthen our leading position in the market by partnering with Photon Energy.”

Speaking about the transaction, Photon Energy Australia Managing Director, Michael Gartner, commented “Australia is entering an exciting period where solar power will make a major contribution to Australia’s electricity needs. Photon Energy has been a pioneer in large scale solar Down Under reacting ahead of competing developers to utility scale opportunities through developing Australia’s largest solar pipeline. We are delighted to be combining our strengths with Canadian Solar to achieve this goal.”

eorg Hotar, CEO of Photon Energy NV added, “This transaction represents an pivotal moment for the Photon Energy Group with our long-term commitment to the Australian market bearing fruit. This cooperation marks a tangible achievement of the entire team in Australia who will now be working with Canadian Solar to develop Australia’s largest solar pipeline.”

Photon Energy NV’s financial advisor in this transaction was Pottinger, led by John Sheehy and Marcus Davidson, and its legal advisors were law firms Hogan Lovells and Clifford Chance, led by Reuben van Werkum.

Source: Photon Energy

Similar Entries

Photon Energy is developing a 316 MW solar power plant near Gunning, New South Wales, that would currently make it the biggest PV project in the state and one of the largest planned in Australia, comparable in size to conventional utility scale power stations. The solar power plant, which would be constructed on 590 ha of land, is currently going through the Permitting and Grid Connection process. Construction could start in early 2019.

Solar Inc. (the "Company" or "Canadian Solar") (NASDAQ: CSIQ), one of the world's largest solar power companies, today announced that a wholly owned subsidiary of the Company and a few subsidiaries of Menora Mivtachim Holdings Ltd. ("Menora Mivtachim"), one of Israel's five largest insurance and finance groups, entered into a joint venture agreement with the aim to invest in the development, financing, construction and ownership of solar power projects in Israel.

The Turkish subsidiary of IBC SOLAR has completed another large-scale solar energy project with a total capacity of 3.43 MWp in the province of Niğde. The plant will produce 6 million kilowatt hours of solar power per year for grid feed-in.

The grid scale energy storage project will help solve power shortages, reduce intermittencies and manage summertime peak load to improve the reliability of South Australia's electrical infrastructure. (Photo: Tesla)

After a strom had damaged critical infrastructure in the state of South Australia and causing a state-wide blackout last September, the South Austrailian Government looked for a sustainable solution to ensure energy security for all residents. As a result Tesla is now about to install a grid-scale energy storage system.