Canadian Solar building 152 MW in Brazil, 146 MW in Australia, 151 MW in Italy

Guelph, Ontario: Canadian Solar Inc. announced February 10 that it had secured 225.2 million Brazilian reais (US$ 55 million) non-recourse project financing from Banco do Nordeste do Brasil S.A. (BNB) for its Lavras solar power projects. Since the beginning of 2019, Canadian Solar has secured BRL 1,007 million (US$ 247 million) solar project financing with BNB.

          The 152.4 MWp Lavras project will be funded over 21 years across the construction and operation phases of the projects. The inflation-linked debt tied to the National Consumer Price Index (IPCA) will provide improved capital and resource alignment with the Brazilian economy.

          Dr. Shawn Qu, Chairman and CEO of Canadian Solar commented, "We are delighted to close our fifth consecutive project financing with BNB. Sustainable public sector commitment for clean and affordable solar energy infrastructure has transformed Brazil to be the fastest growing renewable energy market in Latin America. As a leader in financing infrastructure projects, BNB's continuing participation in our solar portfolio promotes confidence in the long-term potential of Brazil's renewable energy sector."

          The funding from BNB across multiple projects will support Canadian Solar's plan to build one of the largest high efficiency bifacial solar power plants in Latin America. These projects will be powered by Canadian Solar high efficiency modules, including the BiHiKu modules.

          Canadian Solar won the Lavras solar project in Brazil's A-4 federal auction in April 2018 with 20-year, inflation-adjusted PPAs awarded at a base price of 118 Brazilian reais/MWh (approximately US$29/MWh) with the Brazilian Electric Power Commercialization Chamber (CCEE). The project is expected to start construction in the second quarter of 2020 and reach commercial operation in 2021.

          Lavras is part of a 482.6 MWp portfolio whose 80% interest was sold to Nebras Power Investment B.V., a Dutch affiliate of Nebras Q.P.S.C ("Nebras"). Lavras' transfer of shares to Nebras closed in August 2019.

          Also, on March 12, Canadian Solar announced that its subsidiary Canadian Solar Australia had signed a power purchase agreement with Amazon.

          The solar power will be supplied from the company's 146 MWp/110 MWac Gunnedah solar farm, which is expected to reach commercial operation by 2021. The solar farm will utilize Canadian Solar's BiKu bifacial modules.

          The agreement with Amazon is Canadian Solar's first PPA in New South Wales and marks its strategic entry into the large Australian Consumer and Industrial (C&I) PPA market.

          Dr. Qu continued, "Canadian Solar is a leading developer in the Australian solar market, where we have a pipeline of nearly 1.2 GWp, including 335 MWp of projects ready to build. We look forward to growing our solar projects and solar module supply businesses in Australia, while expanding into other C&I sectors in this region. We see a bright future ahead as Australia continues to expand its renewable energy market."

          And on March 17 Canadian Solar Inc. announced that it had secured a EUR55 million bilateral Revolving Credit Facility with Intesa Sanpaolo to fund the construction of a 151 MWp portfolio of solar PV projects in Italy, located across different municipalities in Sicily, Apulia and Lazio. The first projects of the portfolio are expected to break ground in Q3 this year.

          The portfolio of 12 projects will be among Italy's first subsidy-free utility scale solar projects. These projects will be built using Canadian Solar HiKu CS3W-425 modules and its EPC capabilities.