Canadian Solar secures US$44 million loan for Ontario PV plant

The funds – CA$53.5 million (around US$44 million) – have been provided by Natixis, Norddeutsche Landesbank Gironzentrale and Cooperative Centrale Raiffeisen-Boerenleenbank for Canadian Solar’s Illumination PV project in Scugog.

Scheduled to begin commercial operations by the fourth quarter of this year, the Chinese PV module manufacturer is selling the project to DIF Infra 3 RE Canada Limited, based in Toronto, who will in turn sell the generated electricity to the Ontario Power Authority under a 20 year power purchase agreement. Terms of the sale were not available.

In related news, Canadian Solar announced at the beginning of May that it had signed a US$250 million loan agreement with China Minsheng Bank. The loan facility has a three-year maturity and will be used to partially fund the company’s takeover of Recurrent Energy. The remaining cash will be channeled into Canadian Solar’s U.S. solar project development.