UK-based solar developer Lightsource BP has announced a solar tracker purchase deal with Array Technologies, covering 1.4GW of generation worldwide.
The companies did not disclose the exact price of the deal, but it follows a $100m deal in December 2019 for 1.5GW of trackers. A Lightsource BP statement said the company expects to use the trackers for projects in the US, Australia, and Spain, among others.
Solar trackers tilt solar panels towards the sun throughout the day, increasing their efficiency and power output. Array Technologies sold its DuraTrack HZ v3Model, which it says office a 7% lower lifetime cost compared to other decentralised trackers. The deal also includes plant optimising technology that optimises backtracking and light diffusal for an energy production boost of up to 5%.
Group CEO for Lightsource BP Nick Boyle said: “As we continue to grow and progress our 16GW development pipeline, executing global procurement deals with suppliers like Array Technologies enables us to leverage the efficiencies of our scale.”
Lightsource BP’s previous deal with Array Technologies aimed to optimise 1.5GW of solar generation in the US. The solar developer paid for the trackers using a loan from CoBank ACB, but it has not said how it will finance the new deal.
Before this, the companies collaborated on a 200 MW project in Australia.
First deal since flotation for Array Technologies
US-based Array Technologies produces single-axis trackers for solar panels. The company sold its first shares on the stock market in mid-October, to a good response. The initial public offering price of $22 has now risen to $40, within the space of one month.
The company published its first quarterly report last week, where it reported a gross revenue of $139.5m with an adjusted raw earnings (adjusted EBITDA) of $16.6m.
In its first full year guidance the company said it expects revenues between $845m and $865m. Over the same period the company expects its adjusted EBITDA to reach between $156m and $160m.
Array Technologies CEO Jim Fusaro said: “Our third quarter results exceeded our plan and we are continuing to see strong growth in our core U.S. business. We had $703 million of executed contracts and awarded orders at the end of the quarter which represented a 31% increase versus the same time last year.
“Since the close of the quarter, customer activity has increased, and we are in advanced discussions on a number of sizable new orders. Most importantly, we are beginning to see results from the groundwork we laid for international expansion as several of the orders we are currently negotiating are for projects located outside of the U.S. We are also in the process of evaluating several potential acquisition targets that could meaningfully expand our total addressable market.”
Lightsource BP is the solar venture half-owned by BP, best known for their oil and gas business. The company started operating in the North American market in late 2017. It has previously developed more than 1.3GW of generation in house, with more than 2GW under its management.