Stardust Solar Zambia Secures 20-Year Power Purchase Agreement for 30MW Utility-Scale Project

Core Insights - Stardust Solar Energy Inc. has secured a 20-year Power Purchase Agreement (PPA) in Zambia for a 30-megawatt solar project, expected to generate gross revenues of US$60-90 million, marking a significant advancement in the company's royalty-based strategy [1][2][4] Group 1: Project Details - The PPA with Zesco Limited allows the sale of solar-generated electricity to the Government of Zambia at a fixed rate of US$0.07 per kilowatt-hour for 20 years, with total gross revenues projected at US$60 million to US$90 million over the contract's life [2] - The project will be funded through a loan and joint venture agreement, with Stardust Solar earning a 50% royalty on energy revenues after operating expenses, creating a high-margin, recurring revenue stream [3] Group 2: Strategic Importance - The agreement is seen as a milestone for Stardust Solar, validating its royalty-based growth strategy and establishing long-duration, high-margin cash flows [4] - The project is expected to enhance national energy security in Zambia and support economic growth, aligning with the country's transition to reliable, low-carbon power [5] Group 3: Company Overview - Stardust Solar is a diversified solar royalty company focused on developing recurring revenue streams across various markets, including residential, commercial, and utility-scale sectors, with ongoing international expansion initiatives [6] - The company aims to advance renewable energy adoption while creating long-term value for shareholders through strategic growth and sustainability-driven innovation [6]