The two solar projects cover an area of 2,200 hectares and will have a combined generating capacity of 738MW.

Located in Piaui and Ceara states in Brazil’s north-eastern region, the projects are in advanced stages of development.

Construction of the projects is scheduled to start later this year and they are due to begin commercial operations next year.

The Marangatu project will have 446MW of capacity, while the capacity of the Panati-Sitiá project will amount to 292MW.

Once operational, the projects are expected to be two of the largest solar power facilities in Brazil.

Canadian Solar chairman and CEO Dr Shawn Qu said: “We are pleased to partner with SPIC Brasil in this transaction for the Marangatu and Panati-Sitiá projects, which will meaningfully contribute towards Brazil’s goal of obtaining 23% of its energy from non-hydro renewable energy sources by 2030.

“With the completion of this sale, Canadian Solar will have successfully monetised 2.3GWp of utility-scale solar projects in Brazil.

“We will continue to execute and monetise our remaining backlog of 1.6GWp of high-quality, contracted solar projects in Brazil.

“Canadian Solar is a leader in the Brazilian market, and we will expand our leadership across more Latin American markets, including Colombia and Chile.”

Canadian Solar has signed long-term power purchase agreements for around 75% of the electricity generated by the Marangatu and Panati-Sitiá projects. The remaining 25% will be sold on the free market.

SPIC Brasil CEO Adriana Waltrick said: “This acquisition marks the company’s first solar investment in Brazil and the partnership with Canadian Solar is strategic, given Canadian Solar’s experience and pioneering spirit on solar projects implementation and manufacturing.”