Oslo- headquartered Scatec Solar has secured non-recourse financing from BNP Paribas for its 47 MW Redsol project in Northwest Malaysia.
The solar power plant requires a total investment of approximately USD 47m and debt will cover 73% of the project cost, Scatec said on 21 December.
Redsol is expected to deliver 67 GWh of electricity every year with annual revenues of approximately USD 6m.
Scatec will develop the project in a consortium with Fumase, a US- and Malaysia-based asset management and development company focused on renewable energy in South and Southeast Asia.
The Norwegian solar power producer will provide 100% of the project’s equity, act as turn-key EPC, operation and maintenance, and asset management services provider to the power plant.
Grid connection is expected in fourth quarter 2019.
The Redsol project was awarded under Malaysia’s second large-scale solar tender round in December 2017, and will be Scatec Solar’s fourth solar power plant in the country.
The developer has partnered with Malaysian engineering company ITRAMAS Corporation, MalTechPro and Cam Lite on three solar plants totaling 197MW with a total investment of about MYR 1.23m (USD 293m).
Those projects were financed with the MYR 1bn raised from the issuance of Islamic bonds.
The first of the three plants, the 65 MW Gurun solar power project, reached commercial operation last week, Scatec said.