2021-09-14RECURRENT ENERGY COMPLETES MAJORITY SALE OF 1.4 GWH ENERGY STORAGE RELIABILITY PROJECT IN CALIFORNIA
GUELPH, ON, Sept. 8, 2021 /PRNewswire/ — Canadian Solar Inc. (“Canadian Solar” or “the Company”) (NASDAQ: CSIQ) today announced that its wholly-owned subsidiary, Recurrent Energy, LLC (“Recurrent Energy”), sold an 80% stake in its 350 MW / 1400 MWh Crimson storage project to Axium Infrastructure (“Axium”). Recurrent Energy will retain the remaining 20% ownership. Construction of the storage project will begin in Q3 2021 and is expected to reach commercial operation by the summer of 2022.
The Crimson storage project is Canadian Solar’s first stand-alone storage project and the largest developed to-date. It holds two energy storage contracts with local utilities, namely:
Canadian Solar’s majority-owned CSI Solar subsidiary will provide both EPC (engineering, procurement, and construction) and long-term operational services for the Crimson storage project.
“Global efforts towards a clean energy transition are generating a surge in demand for battery storage capacity to support more reliable power grids. At Canadian Solar, we are doing our part by expanding our market leadership position in battery storage and executing on our pipeline,” said Shawn Qu, Chairman and CEO of Canadian Solar. “Through the Crimson storage project, we are collaborating with our partner Axium to help improve California’s grid reliability and safety by providing critically-needed resource adequacy capacity to meet electricity demand in all scenarios. Once it reaches commercial operation, Crimson will be one of the largest battery energy storage projects in the world. We are pleased to work with Axium as we execute and complete the majority sale of the project.”
“The Crimson partnership with Canadian Solar and Recurrent marks Axium’s first investment in battery storage. This important project will support the integration of additional sustainable energy projects to help achieve California’s ambitious energy and climate change goals,” said Thierry Vandal, President of Axium Infrastructure US Inc.
Both contracts are part of reliability procurements directed by the California Public Utilities Commission (“CPUC”). Located in Riverside County, the Crimson project will support California’s decarbonization and reliability goals with additional non-emitting, clean resource adequacy capacity. The U.S. Interior Department’s Bureau of Land Management issued final approval earlier this year as the Crimson project is sited on public lands in the California desert.
Recurrent Energy is a leading utility-scale solar and storage project developer, delivering competitive, clean electricity to large energy buyers. Based in the U.S., Recurrent Energy is a wholly owned subsidiary of Canadian Solar Inc. and functions as Canadian Solar’s U.S. project development arm. Recurrent Energy has approximately 5 GW of solar and storage projects in development in the U.S. Additional details are available at www.recurrentenergy.com.
Axium Infrastructure (comprised of Axium Infrastructure Inc. and its affiliated entities) is an independent portfolio management firm dedicated to generating long-term investment returns through investing in core infrastructure assets. Axium Infrastructure had over US $5 billion in assets under management as of June 30, 2021, as well as approximately US$1.4 billion in co-investments. The firm benefits from the capabilities of a group of specialists with decades of experience acquiring, developing, financing, operating and managing infrastructure assets. Focus is placed on assets that are supported by robust market demand and under long-term contract with creditworthy counterparties. Since 2010, the firm has invested in a diversified portfolio of over 165 North American infrastructure assets. For further information, including information about other infrastructure assets the firm has invested in, please visit www.axiuminfra.com.