SunEdison, a leading worldwide solar energy services provider and a subsidiary of MEMC Electronic Materials,Â has announced the sale of a 70 megawatt (MW) photovoltaic (PV) power plant located in Northeast Italy, near the town of Rovigo. When completed in the fourth quarter of 2010, the Rovigo plant is expected to be the largest operating solar power plant in Europe. SunEdison and Banco Santander jointly developed and co-owned the Rovigo plant prior to this sale.
Commenting on the transaction, Carlos Domenech, President of SunEdison, said, “This transaction demonstrates SunEdison’s capabilities in developing large-scale solar projects, working with investors to design and implement project finance structures, supporting government agencies in obtaining renewable energy goals and creating green energy jobs.”
Mark Florian, Managing Director of First Reserve Energy Infrastructure, commented, “SunEdison is a leader in executing large scale projects like Rovigo and we are proud to add this flagship project to our energy infrastructure portfolio. Rovigo will serve as a worldwide reference for its scale, representing many unique skills embedded in our partnership with SunEdison, including expertise in coordination of complex solar projects, technical management and financial execution.”
The Rovigo solar plant is expected to create significant environmental benefits, in addition to the construction and maintenance jobs that benefit the local community. In its first year of operation, the system is expected to generate enough energy to power approximately 16,500 homes and prevent the emission of 40,000 tons of CO2, which would equate to the removal of 8,000 cars from the road.
MEMC intends to provide further details regarding the applicable accounting treatment for the Rovigo sale upon release of its third quarter 2010 earnings results. The recognition of revenue and profit associated with this sale will be determined by the timing of project completion and long-term project debt financing, and the application of the appropriate accounting treatment.
SunEdison is a global provider of solar-energy services. The company develops, finances, installs and operates distributed power plants using proven photovoltaic technologies, delivering fully managed, predictably priced solar energy services for its commercial, government and utility customers. In 2009, SunEdison delivered more kilowatt hours (kWh) of energy than any other solar services provider in North America. For more information about SunEdison, please visit www.sunedison.com.
MEMC is a global leader in the manufacture and sale of wafers and related intermediate products to the semiconductor and solar industries. The company has been a pioneer in the design and development of silicon wafer technologies for 50 years. With R&D and manufacturing facilities in the U.S., Europe, and Asia, MEMC enables the next generation of high-performance semiconductor devices and solar cells. Through its SunEdison division, MEMC is also a developer of solar power projects and North America’s largest solar energy services provider. MEMC’s common stock is listed on the New York Stock Exchange under the symbol “WFR” and is included in the S&P 500 Index. For more information about MEMC, please visit www.memc.com.
About First Reserve
First Reserve is the world’s leading private equity firm in the energy industry, making both private equity and infrastructure investments throughout the energy value chain. For more than 25 years, it has invested solely in the global energy industry, and has developed an unparalleled franchise, utilizing its broad base of specialized energy industry knowledge as a competitive advantage. First Reserve invests strategically across a wide range of energy industry sectors, developing a portfolio that is diversified across the energy value chain, backing talented management teams and building value by building companies. Further information is available at www.firstreserve.com.
About the First Reserve Joint Venture
In May 2010, First Reserve and SunEdison announced the creation of a joint venture for the acquisition of SunEdison’s photovoltaic projects. This partnership is the largest investment vehicle to exclusively fund photovoltaic solar power created to date, with the prospect of long-term ownership of the assets across several key geographies.