OCI Holdings' U.S. subsidiary, OCI Energy, announced on September 1 that it held a groundbreaking ceremony for the Solar Project in collaboration with Israeli energy company Arava Power.
The ceremony was attended by OCI Holdings Chairman Lee Woo-hyun, OCI Energy President Saba Bayatli, and Arava Power CEO Ilan Gidoni, among other key officials.
The Solar Project will be developed on a 1,714-acre (6.93 million square meters) site in Wharton County, Texas, with a capacity of 260 megawatts, aiming for commercial operation by 2027. This capacity is sufficient to power approximately 60,000 households in South Korea, based on a four-person household standard.
OCI Energy and Arava Power are jointly developing the project, each holding a 50% stake. They secured project financing based on a long-term power purchase agreement (PPA) signed with a top Fortune company in February.
Lee Woo-hyun stated, "The increasing power demand from AI data centers is driving the growth of solar energy in the U.S. market. The commencement of the Solar Project demonstrates OCI Energy's expansion from a development and sales-focused business model to direct operations, broadening new revenue generation opportunities."
He added that as the operation of PPA-based power plants expands in the future, it is expected to secure stable cash flow and profitability based on long-term contracts. This is also anticipated to positively contribute to enhancing OCI Energy's corporate value.
Meanwhile, OCI Holdings reported consolidated revenue of 1.0231 trillion won and an operating profit of 108 billion won in the second quarter of this year, continuing a solid performance with three consecutive quarters of profitability.
* This article has been translated by AI.
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