Recurrent Energy Gets Financing for 119 MW Solar Project in Mexico

Recurrent Energy Gets Financing for 119 MW Solar Project in Mexico

Recurrent Energy, a subsidiary of solar and energy storage assets company Canadian Solar Inc. announced that it has closed non-recourse project financing for its 119 MW Horus Solar project in the region of Aguascalientes, Mexico. Recurrent owns 49 percent of the Horus Solar project, while Korea Electric Power Corporation (KEPCO) and Sprott own 15 percent and 36 percent respectively. The non-recourse financing has been provided by Korea Eximbank (KEXIM), the official export credit agency of South Korea, and KEB Hana Bank, one of South Korea’s largest banks, read the media statement by Recurrent Energy.

The facility is split into two tranches, totaling $51 million: a $43 million facility provided by KEXIM and a $8 million facility provided by KEB Hana Bank.

Ismael Guerrero, CEO of Recurrent Energy, said, “The Horus project is a great example of the high-value projects that we aim to develop and finance across the world. Thank you to our partners at KEXIM and KEB Hana Bank, together with the project sponsors KEPCO and Sprott, for helping enable this solar project that will bring more emissions-free power to Mexico. We remain committed to the Mexican market that boasts some of the best fundamentals worldwide for solar development.”

During Mexico’s third renewable energy auction, the Horus project was awarded a power purchase agreement (PPA) through which it will sell 75 percent of electricity generated for 15 years and Clean Energy Certificates for 20 years. The remaining 25 percent will be sold on the spot market. The project reached the Commercial Operation Date (COD) in March 2023 and has been operating since then. The 119 MW solar project was built using Canadian Solar’s high-efficiency BiHiku bifacial modules.

In other news, Canadian Solar Inc. and Sol Systems announced their recent partnership to scale new solar module production and procurement in the United States. Canadian Solar has secured a framework agreement to provide Sol Systems with a significant supply of modules from its newly ramped Texas module factory.