Norsk Solar announces final investment decision in the Origo II project

Published Jun 15, 2023 in News Press releases

Norsk Solar, an independent solar power producer focused on commercial and industrial (C&I) projects in high-growth markets is pleased to announce that the Board of Directors has made an investment decision for the construction of three solar PV plants with a capacity of 9 MW in Brazil. The plants are part of the previously announced 37 MW development agreement signed with corporate off-taker Órigo Energia. The project has yet to obtain approvals connected to a minor adjustment of the connection layout to initiate the execution of the project, however, the company is positive that this will be resolved within a short time.

The project is situated in Minas Gerais in Brazil and has a capacity of 9 MW. It is the second of three planned projects where Norsk Solar is acting as the sole IPP, and where the company is responsible for development, financing and construction. The project is set for a 25-year tenor and will secure recurring revenue for 25 years, under the terms of the power purchase agreement (PPA) with corporate off-taker Órigo Energia.

“This project represents another opportunity to expand our renewable energy portfolio and advance our mission of driving the transition to clean and sustainable power sources,” Torbjørn Elliot Kirkeby-Garstad, CEO of Norsk Solar says. “This strategic investment underscores our dedication to combating climate change and promoting a low-carbon economy and is an important contribution to the 37 MW Origo project portfolio. By venturing into Origo II, we are not only contributing to the local economy but also fostering job creation. The project will provide employment opportunities during the construction phase and create long-term skilled jobs during its operational lifespan”

The total capex is equal to an allocated investment of USD 11.9 million. This information is subject to the disclosure requirements pursuant to Section 5 -12 of the Norwegian Securities Trading Act.

The decision to invest in Origo II is the result of a comprehensive evaluation process, which included a meticulous analysis of the projects financial viability, market demand and alignment with our corporate strategy. Extensive due diligence was conducted to ensure the projects technical feasibility, regulatory compliance, and sustainable impact on the environment.

We extend our gratitude to our shareholders, partner and employees for their unwavering support in our pursuit of a greener tomorrow.

For further information, please contact:

Ingrid Sara Grimstad Amundsgård, EVP Sustainability & Communication.

About Origo Energia:

Origo Energia is a pioneer in the Brazilian sector of distributed generation. They provide clean energy, through the management of cooperatives, to more than 15,000 customers, including households and small businesses. The shareholders include TPG ART, Mitsui and the Brazilian impact investment fund manager MOV

About Norsk Solar:

Norsk Solar provide clean, renewable solar solutions to corporate and industrial (C&I) entities in high-growth markets. Our high-quality solar PV solutions produce cost-efficient and reliable electricity, helping companies meet their sustainability targets by cutting carbon emissions while reducing their electricity costs. The company was established in 2017 in Stavanger, Norway, and today has approximately 40 employees located in Norway, Spain, South Africa, Brazil, and Vietnam.

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Ingrid Sara Grimstad Amundsgård

Ingrid Sara Grimstad Amundsgård

EVP Sustainability, HSE, Communications & IR