Canadian Solar Inc. today announced that it has signed a PPA contract with Techgen, S.A. de C.V. ("Techgen"), an affiliate of Ternium, S.A., (NYSE: TX) and Tenaris, S.A. (NYSE: TS).
The PPA contract has a 15-year term and will allow Canadian Solar to finance and build a 103 MWp solar power project located in Ojocaliente Municipality, Zacatecas State, Mexico. The solar plant will use Canadian Solarhigh efficiency modules and is expected to start operations in 2021.
The execution of this contract is a landmark for Canadian Solar strengthening its leadership position in Latin America to offer clean energy solutions. It is also a step forward for Techgen and its affiliates in their continuous efforts to improve their business systems towards a more sustainable future.
Techgen owns and operates a combined cycle power plant that supplies energy to Tenaris' and Ternium's manufacturing plants in Mexico. Ternium, S.A. is a company in the Americas that manufactures and processes a wide range of high-complexity steel products using the most advanced technology. Tenaris, S.A. is a global manufacturer and supplier of steel tubes and related services for the world's energy industry and certain other industrial applications.
"We are honored to supply competitive and clean energy to one of the main steel manufacturing corporations in Latin America. Signing this PPA demonstrates Canadian Solar's ability to meet the commercial and environmental needs of corporate customers, strengthening our track record in Mexico where we have already been awarded with four projects totaling 438 MWp in the Long-Term Auctions," said Dr. Shawn Qu, Chairman and Chief Executive Officer at Canadian Solar.