Teralight (TASE: TRLT), updates on a significant milestone in its operations in Canada. The company reports today that it has signed a memorandum of understanding (MOU), subject to a binding agreement, for the sale of electricity in the amount of approximately NIS 800 million from Dunmore solar project in Canada, which is owned by Teralight (75%), for a period of 15 years. The company estimates that the total electricity sales under the purchase agreement (PPA) for 70% of the project’s total electricity will amount to approximately NIS 800 million. Teralight reserves the remaining 30% of the volume of electricity production for sale on the free market in Canada, where the price levels are expected to yield a higher return.
Dunmore project, which is currently nearing construction and expected to be commercially operational during the second quarter of 2025, is located in Alberta, Canada and is planned to operate at a capacity of approximately 172.8 megawatts (AC). In accordance with the memorandum of understanding, Teralight will sell about 70% of the total electricity generated by the project, which amounts to approximately 120.98 MW AC, to a Canadian energy infrastructure giant.
According to Rani Lifshitz, CEO of Teralight: “Teralight continues to develop its activities in all sectors, and in this context, we are updating today on a significant memorandum of understanding for the sale of electricity from the Dunmore project that we own in Canada to an energy infrastructure giant. Dunmore project, which is expected to begin commercial operation during the second quarter of 2025, is a very attractive project that constitutes another growth engine for Teralight, alongside the very significant activity in Israel – which includes several huge projects that are under construction or nearing construction. In this context, we only recently reported on the agreement for the sale of electricity from the Ta’anakh 2 project with a financial scope of over NIS 2 billion”.
At the beginning of the month, Teralight updated about a huge deal for the sale of electricity to Dalia Energy, which operates as an electricity supplier, with an estimated cumulative amount of NIS 2.3-2.2 billion, for a period of 23 years. Under the agreement, Teralight will sell all the electricity generated by the Ta’anakh 2 project in North Israel, expected to commence commercial operation in the first half of 2025.