The US Government’s development finance institution, OPIC, will provide a loan of up to $230m while IFC, a member of the World Bank Group, approved a $60m loan for the project.
First Solar said it has been working with the Chilean Government, authorities and the local community to design, develop and construct the project near the city of Copiapo in the Atacama Desert.
The loans, which are anticipated to close later this summer, will allow the company to start on-site construction planning at the site.
The electricity generated from the project will be supplied into the Chilean Central Interconnected System, supporting the country’s goal of increasing renewable energy to 20% of total generation capacity by 2025.
First Solar senior vice president of Americas Tim Rebhorn said the Latin American region currently needs innovative and efficient energy solutions.
"This investment support from OPIC and IFC is instrumental in bringing the project in Chile to life," Rebhorn added.
OPIC president and CEO Elizabeth Littlefield said, "The Luz del Norte project is an important step in furthering solar power development in Chile, where the potential for this clean, renewable resource is unrivalled."
Image: The electricity generated from the Luz del Norte project will be supplied into the Chilean Central Interconnected System. Photo: Courtesy of dan/FreeDigitalPhotos.net.
