Scatec starts construction at the 142 MW Urucuia solar project in Brazil

Scatec ASA has started construction of the 142 MW solar plant in Minas Gerais, Brazil.

Scatec secured a EUR 25 million (US$ 26 million) debt facility from IFU, the Danish Investment Fund for Developing Countries, to partially fund its equity share in the project, resulting in a total expected equity injection of US$28 million. Additionally, Scatec has signed a Power Purchase Agreement (PPA) with Statkraft for approximately 75% of the projected energy output, with the remaining power anticipated to be sold through various short-medium and long-term PPAs.

The solar plant's estimated total capital expenditure is US$ 85 million, with 35% funded through long-term non-recourse project debt and the remainder covered by Scatec's equity and a short-term facility from IFU. Financial close for the project debt is anticipated in the first half of 2025, and commercial operations are scheduled to commence in the first half of 2026.