Scatec Solar ASA said Dec. 29 that it has closed the sale of 100% of the sponsor equity in the 104-MW (dc) Utah Red Hills solar plant to MIC Renewable Energy Holdings LLC, which is owned by Macquarie Infrastructure Corp. (NYSE: MIC).
The sale generated gross cash proceeds to Scatec Solar of US$28 million. The consolidated book value of Scatec Solar’s sponsor equity in the project company is US$21 million.
After this transaction, Scatec Solar holds 322 MW of large-scale solar plants in operation. The company has a backlog of projects with secured long-term off-take agreements of 731 MW across a number of regions in addition to a project pipeline of about 1,100 MW.
The Federal Energy Regulatory Commission on Nov. 16 approved a Sept. 30 application from Utah Red Hills Renewable Park LLC for authorization for MIC Renewable Energy Holdings to purchase from Solveig Solar Holdings LLC 100% of the issued and outstanding membership interests in Solveig Solar 01 UT LLC, an upstream owner of Utah Red Hills.
Utah Red Hills is an exempt wholesale generator with market-based rate authority. It owns and operates a qualifying facility, with a net capacity of 78.6 MW, located near the town of Parowan, Utah. Utah Red Hills is interconnected to the PacifiCorp system and sells the entire output of the project to PacifiCorp under a 20-year power purchase agreement, executed under the Public Utility Regulatory Policies Act of 1978 (PURPA).
The buyer is an indirect, wholly-owned subsidiary of Macquarie Infrastructure Corp.
Scatec Solar develops, builds, owns, operates and maintains solar power plants, and already has an installation track record of 600 MW. The company is producing electricity from 322 MW of solar power plants in the Czech Republic, South Africa, Rwanda, Honduras and Jordan. Scatec Solar is headquartered in Oslo, Norway, and listed on the Oslo Stock Exchange under the ticker symbol ‘SSO’.