Zenith Energy Ltd (LSE:ZEN, TSX-V:ZEE) has acquired a ready-to-build solar energy project in the Puglia region of Italy through its subsidiary WESOLAR.
The site will have a power output of around 3 megawatts peak (MWp). It is located next to the A14 motorway and approximately 500 metres from a local industrial zone. The project is connected to a nearby E-distribuzione medium-voltage substation.
All permits are in place, allowing immediate construction.
The 3.5-hectare site was acquired for €280,000, or €80,000 per hectare.
Chief executive Andrea Cattaneo told investors several larger projects are also under review, and it that its likely the company will significantly surpass its capacity target.
"Zenith's recent acquisitions clearly demonstrate the successful execution of our growth strategy as we work toward our goal of building a 20 MWp solar energy portfolio by the end of 2025,” Catteneo said in a statement.
He added: “The acquisition strategy is designed to establish a sustainable, forward-looking foundation for long-term, organic revenue generation and profitability.
“We intend to finance this growth through favourable bank lending terms, providing the company with the financial flexibility to redefine its strategic direction following the termination of its energy production portfolio in Tunisia.”
“We have a strong pipeline of upcoming developments across multiple areas and look ahead with great optimism."