Independent solar power producer, Etrion has selected ABB to design, build and provide maintenance services for Etrion’s 10MW Helios ITA 3 solar project under construction in the Puglia region of Italy. The Helios ITA 3 project includes two 5 MW ground-mounted solar PV parks in Brindisi and Mesagne, which are expected to be completed by August 31, 2011. The first electricity sales from the project are expected during the fourth quarter of 2011, according to Etrion.
Etrion noted that it had received a bridge loan of €28 million from a major major shareholder, the Lundin family. The bridge loan is interest-free and will mature one year after draw down. Repayment will be made via an existing non-recourse loan facility with Natixis, WestLB and Mediocreval following grid connection. Etrion also issued 6.5 million common shares to the Lundin family trusts.
The Helios ITA 3 parks are expected to receive a feed-in-tariff of €0.25 per kilowatt-hour (kWh) plus the market price of approximately €0.08 per kWh and generate approximately, 16.8 million kWh of electricity and €4.6 million of earnings to Etrion before interest, taxes, depreciation and amortization (EBITDA) per year.
Construction of the project was said to have been voluntarily delayed previously, due to the expected new Italian feed-in-tariff.