Hyundai Engineering Secures $310M U.S. Solar Financing

Financing Agreement Signed on April 29 with KDB, Crédit Agricole CIB, OCBC and Siemens Financial Services

Hyundai Engineering CI

Hyundai Engineering has secured $310.00 million (about 460.0 billion won) in project financing for its U.S. solar power business.

Hyundai Engineering said on April 29 that it had signed a project financing agreement of this kind with four domestic and foreign financial institutions: Korea Development Bank, Crédit Agricole CIB, OCBC Bank, and Siemens Financial Services.

With the signing of the financing agreement, the company is expected to gain momentum in advancing the Hillsboro Solar Power Plant project in Hill County, Texas, as it has now secured stable funding for the project.

The deal is particularly significant in that it marks the first overseas renewable energy investment development project led by a South Korean construction company across the entire process after acquiring the business rights, including permit extensions, a Power Purchase Agreement (PPA), investment, and financing.

The Hillsboro Solar Power Plant will have a generation capacity of 200 MW. Construction is set to begin in the first half of this year, with commercial operation targeted for the end of next year.

Once completed, it will generate about 476 GWh of electricity annually. That is enough to supply power to about 46,000 households in the United States.

A Hyundai Engineering official said, “This financing agreement is a turning point that will both accelerate our full-fledged entry into renewable energy investment development projects in North America and expand our portfolio beyond an EPC (Engineering, Procurement, and Construction)-centered business structure into investment development-type projects,” adding, “Going forward, based on cooperation with domestic and foreign financial institutions, we will further solidify our position in the global energy market.”

Jung Suk-yee