Yesterday, Renesola (SOL) got a bit of a pop higher on news it has signed letters of intent for 505MW in government solar contracts. The first is a potential deal with the Yancheng city government for a 500MW on grid solar project consisting of mainly ground mounted systems and 10MW of rooftop installations to be built over the course of six years. The second deal is a 5MW rooftop solar project with the Panzhihua east district government. Both projects are subject to feasibility studies and other governmental red tape.
“We are delighted to announce the addition of these new projects to our downstream solar project portfolio,” said Mr. Xianshou Li, ReneSola’s chief executive officer. “The 500 MW solar project in neighboring Jiangsu province is set to become one of the largest of its kind so far in China. A project of this magnitude will showcase ReneSola’s expertise in utility-scale solar applications and help raise our profile in the downstream space as we position ourselves to benefit from the government’s enhanced focus on renewable energy.”
Technically, Renesola has improved significantly in recent days getting back above the 50 day moving average. It looks to be a great entry anywhere around 5 or below.