Canadian Solar Inc. has signed a financing agreement with Deutsche Bank to provide a US$97.2 million project finance credit facility for the construction of the company’s 48-megawatt solar power plant in Japan.
Kumamoto Mashiki solar farm is expected to reach commercial operation in 2017 and will sell electricity to Kyushu Electric Power Co. under a 20 year feed-in-tariff contract at the rate of JPY36.0 (US$0.30) per kilowatt hour.
“We are pleased to announce another project construction credit facility with Deutsche Bank that allows us to continue the development of our pipeline of quality solar projects in low risk geographies that we expect will create lasting value for our shareholders,” said Shawn Qu, Chairman and Chief Executive Officer of Canadian Solar. “We are also pleased that our efforts in Japan are gaining traction, our pipeline is maturing, and the construction of several valuable projects is ramping up, which positions us well to deliver solid results in the quarters ahead.”