OCI has successfully sold its 132MW(DC)/106 MW(AC) Texas solar power plant, Alamo 7, as a means of seeking financial improvement and securing cash for future investment.On January 8, OCI Company (Woohyun Lee, CEO) announced the sale of the 132MW(DC)/106 MW(AC) Texas solar power plant to ConEdison Development. Alamo 7 is the second largest solar power plant in the 400 MW Alamo projects which OCI contracted with City of San Antonio in 2012.
Proceeds from the sale total $226.9MM, reflecting the stability and high profitability of the project. Solar power developers either invest in projects and retain ownership throughout the lifetime of the PPA, or build and sell projects in order to maximize return. OCI has made a strategic decision to sell Alamo 7 based on current market conditions.According to SH Yoon, CEO of OCI Solar Power based in San Antonio, Texas, the success of this deal will help OCI improve its financial status. Proceeds will be reinvested in future solar power projects in North America.
OCI entered into a contract in 2012 for the 400MW Alamo project in San Antonio, Texas, which allowed the company to make forward movement in the solar power business. The Alamo project captured widespread attention, as it was the first solar power project developed by a Korean company.The Alamo project commenced construction in 2012. Last year, OCI successfully secured an additional 50 MW project in Texas, Project Pearl, increasing the company’s overall development portfolio in the state to 450 MW. Construction on the Project Pearl will commence in the coming weeks. Project Pearl will finish construction in late 2016.OCI entered into the Chinese solar power market in 2015. In addition, the company is focusing on new projects in developing countries such as India and Africa.