Abengoa has secured a $1.2 billion loan guarantee from the U.S. Department of Energy to construct a solar plant in southern California. The Spanish engineering firm will use the loan proceeds for the construction of the 280 megawatts Mojave Solar Project, utilizing advanced technology manufactured in U.S.
The project has an overall investment of about $1.6 billion, and is slated to commence operations in 2014. The company also entered in a power purchase agreement with Pacific Gas & Electric Co., one of the largest U.S. utilities, to acquire the energy produced by the Mojave project for 25 years.
Click here for the release from PR Newswire.