Foresight Solar Fund Limited has acquired the remaining 51% interests in the Oakey 1 (30MW) and Longreach (17MW) solar farms in Queensland, Australia.
The company had acquired a 49% stake in each farm in December 2017 and has acquired the remaining 51% in each from Canadian Solar.
The total equity consideration for the remaining stakes in the two assets is equivalent to approximately 1% of the fund’s latest net asset value (NAV).
Both assets are fully operational and the increase to 100% ownership provides Foresight Solar Fund Limited with full management control over future optimisation initiatives.
The assets currently have senior debt facilities in place from the Bank of Tokyo-Mitsubishi (MUFG) and Australia’s Clean Energy Finance Corporation (CEFC).
The senior debt facilities expire in April 2022 and are expected to be refinanced during the first quarter of 2022.
Both Longreach and Oakey 1 benefit from power purchase agreements (PPAs) for the sale of electricity and large-scale generation certificates (LGCs) with the Queensland Government.
These are under a contract-for-difference structure for a period of 20 years from the date of commissioning, delivering a “highly contracted” revenue level of operational cash flows.