NRG Energy to acquire 290MW Agua Caliente solar project in Arizona

Project is scheduled to be completed by 2014

NRG Energy has entered into an agreement to acquire the 290MW Agua Caliente solar power project in Yuma County, Arizona, from First Solar.

The project is scheduled to be completed by 2014 and has a 25-year power purchase agreement with Pacific Gas and Electric.

First Solar has developed the project and is its engineering, procurement and construction contractor.

The company will also provide operations and maintenance services for the project.

At full capacity, the power project is expected to provide clean electricity for more than 225,000 homes and offset approximately 5.5 million metric tons of CO2 over 25 years.

An application has been submitted to the US Department of Energy for a federal loan guarantee in connection with the financing of the project.

NRG plans to invest up to $800m of equity in the project through 2014 through a potential combination of cash on hand in addition to third-party investor equity.