Under the terms of the agreement, Scatec Solar will construct the plant and provide operation and maintenance services when the plant is in operation. Scatec Solar will own 40 per cent of the power plant, while Norwegian Norfund/KLP and the local project developer PEMSA each will hold 30 per cent.

Construction of the facility will start immediately and the plant is expected to be in operation in the second half of 2015. Total investment for the plant is estimated to USD 125 million.

"Realisation of the Agua Fria project is an important milestone for us, representing our first step into the very promising Latin American solar market", said Raymond Carlsen, CEO of Scatec Solar. 

Annual production from the power plant is estimated to 100,000 MWh, with the electricity produced to be sold under a twenty-year power purchase agreement with the utility Empresa Nacional de Energia Electricia (ENEE). The ground-mounted photovoltaic solar facility will deploy approximately 200,000 PV modules on a fixed tilt system and will interconnect to an existing transmission line.

Export Credit Norway (Eksportfinans), The Norwegian Export Credit Guarantee Agency (GIEK) and Corporación Interamericana para el Financiamiento de Infraestructura, S.A. (CIFI) will provide the debt for the project.