Canadian Solar secures $120 mn financing from BNB

Canadian Solar Ontario project

Canadian Solar announced it secured 487 million Brazilian reais or $120 million non-recourse project financing from Banco do Nordeste do Brasil (BNB) for its Francisco Sa and Jaiba solar power projects.

Canadian Solar has secured BRL 782 million or $192 million solar project financing with BNB since the beginning of 2019.

The 114.3 MWp Francisco Sa and 112.4 MWp Jaiba projects will be funded over 23 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.

The funding from BNB across multiple projects will support Canadian Solar’s plan to build bi-facial solar power plants in Latin America. These projects will be powered by Canadian Solar high efficiency modules, including BiHiKu modules.

Canadian Solar won the Francisco Sa and Jaiba solar projects 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 projects are expected to start construction in the fourth quarter of 2019 and reach commercial operation in 2021.