Ormat sells Heber Solar to RET

A subsidiary of Ormat Technologies has signed an agreement with RET Holdings to sell its 10MW Heber Solar PV project in Imperial county, California, for $35.35m.

Ormat Nevada says it received an initial $15m payment with the balance due next quarter, subject to fulfillment of certain milestones. Ormat Technologies will record a $7m pre-tax gain from the transaction.

Ormat chief executive Dita Bronicki says the company fulfilled its objectives with the Heber project. Those included to benefit from the synergies between Ormat’s geothermal plants and solar development, and to apply its development and experience as an engineering, procurement and construction  contractor in utility-scale solar plants.

It also sought to develop a profitable project – its first for solar in the US, she says.

“We plan to continue monitoring the solar market and pursue opportunities for developing PV plants in locations where we can offer competitively priced power generation,” Bronicki adds.