The corporations will split two separate facilities 50/50; the 150 MW Copper Mountain Solar 2 farm near Las Vegas and the 150 MW Mesquite Solar 1 plant near Phoenix. Noting the scale of these two solar ventures, Sempra U.S. Gas & Power Vice President of Renewables Kevin Sagara highlighted the importance of a partnership with ConEd: "This transaction enables us to improve our financial returns, deconsolidate debt and reinvest the proceeds to more rapidly grow our business."
ConEd agrees. "To succeed in the world of solar development, it is essential to build relationships with the right partners and to invest in the right projects," stated ConEd Development Vice President Mark Noyes. "That is precisely what is happening here. We are delighted to be working together with Sempra U.S. Gas & Power, a company that is highly regarded as one of America's foremost solar developers. These two projects are both first-rate facilities with solid, long-term agreements."
While Mesquite Solar 1 is up and running at full capacity, Copper Mountain Solar 2 currently generates 92 MW of solar power, with total completion expected by 2015. Power from both farms has been sold to Pacific Gas & Electric (NYSE:PCG) under 25-year contracts.
The Motley Fool has no position in any of the stocks mentioned, either. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.