ReNu Energy has announced the execution of two-term sheets with Astronergy Solar Australia for the purchase of two 5.8MW DC grid connected solar farm developments.
The solar farms are located in South Australia and are in the final stages of obtaining all necessary parts and approvals. Once the solar panels are installed renewable energy is exported to the grid and sold under long term corporate power purchase agreements.
This allows users to benefit the solutions that come with solar power while not needing to install the solar grid. It is estimated that all approvals will be in completed by 30 June and construction and generation commencing later in 2019.
Astronergy and ReNu will use this partnership to complete due diligence and negotiate definitive legal binding agreements for each project.
Total cost is expected to be $17.2 million and CEO of ReNu Energy Craig Ricarto hopes the income will outweigh the cost.
“We have stated on a number of occasions that we are focused on becoming cash flow positive for the first time in the Company’s history in 2019, we believe these projects represent a great opportunity for us to deliver on our target,” he said.
ReNu currently covers Australia, Europe, Asia, Africa and North America however they would like to focus more on the Australian market.