Renesola (SOL) In Potential $706 Million Wuzhong City Solar Deal

Not sure how I missed this earlier today.. I may need to make the coffee a bit stronger tomorrow morning.  Renesola (SOL) announced it has signed a letter of intent with Taiyangshan Development Zone in Wuzhong city to develop a 150MW on-grid solar project.  The project is still subject to a feasibility study and government approval but I can’t image that’s going to be a problem.  The deal is a big one with a budget of $706 million over 4 years and is expected to begin next year.  Assuming SOL reaps the reward of that entire $706 million over the next year years, it would add about 20% to its top line growth each year (based on current revenue levels).

A quote from the CEO:

Mr. Li added, “The 150 MW on-grid solar project in Wuzhong bolsters our downstream project portfolio as we strengthen our position as one of the leading vertically integrated solar companies in China. The Ningxia Hui Autonomous Region is one of the sunniest regions in China, and this project is strategically located to fully take advantage of the abundance of natural sunlight in the local area.”

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