SunEdison and Dominion have agreed to create a joint venture (JV) for a 420MW DC solar project in Utah, US.
Dominion will invest about $500m to buy 50% of the cash equity and 99% of the tax equity in the Four Brothers solar project, which is currently under construction.
SunEdison will contribute the remainder of the already fully-financed capital needed to complete the project.
SunEdison developed the project, which is expected to go online in mid-2016. It is expected to generate 800,000 megawatt-hours of energy, enough to power over 90,000 households.
PacifiCorp (A-/A3), a subsidiary of Berkshire Hathaway Energy, will buy the energy generated from the project under long-term power purchase agreements for 20 years.
SunEdison holds a 50% stake in the Four Brothers project. It is on the call right projects list for TerraForm Power.
SunEdison EMEA & Americas executive vice president Paul Gaynor said: "From a financial perspective, the Dominion partnership demonstrates the quality of our project and provides SunEdison and TerraForm Power with a complete solution for the construction and permanent financing of this 420 MW solar facility.
"This solar project will also bring clean, affordable electricity to Utah residents and businesses while providing attractive returns for its owners.
"This partnership represents a major investment in the Utah economy, and creates both local jobs and steady income for the state from property and other taxes."
Image: SunEdison developed the Four Brothers solar project, which is currently under construction in Utah. Photo: courtesy of graur codrin/FreeDigitalPhotos.net.