Canadian Solar Inc. has signed a financing agreement with Deutsche Bank for C$104 million in non-recourse, short-term financing for the construction of solar power projects in Ontario. Canadian Solar expects the loans to be repaid with the proceeds of the sale of the financed projects.
The loan is intended to support the simultaneous construction of three solar power plants with a total capacity of 30 MW. Developed by Canadian Solar, the projects are expected to be built and connected through 2014. All have been awarded 20-year power purchase contracts by the Ontario Power Authority under the province's feed-in tariff program.
‘This is the second construction loan package we have signed with Deutsche Bank,’ says Shawn Qu, chairman and CEO of Canadian Solar. ‘The support of global financial institutions, like Deutsche Bank, allows us to expand our actionable pipeline of the quality projects which our investors would like to acquire.’