First Solar Shines Brighter in Nevada (FSLR, SRE)

First Solar, Inc. (NASDAQ:FSLR) has signed a deal with a division of Sempra Energy (NYSE:SRE) to build a 48-megawatt photovoltaic power plant that expands an existing 10-megawatt plant near Boulder City, Nevada. Construction is expected to begin this year and be completed in 2010. When the plant is completed it will be the largest photovoltaic power plant in North America. No monetary value for the deal was provided.

The total 58-megawatt plant is located adjacent to Sempra’s 480-megawatt combined cycle, natural gas-fired power plant about 40 miles southeast of Las Vegas. The deal does have a couple of conditions: Sempra must be able to find a buyer and the plant must pass state and local regulatory approvals.

First Solar shares are up more than 3% in pre-market trading this morning, to $152.75. That’s still less than half the 52-week highs.

Paul Ausick
April 15, 2009