S-Energy Signs Main Contract Worth 7.2 Billion KRW for Solar Repowering Project with Kamei, a Prime Market-Listed Company in Japan

S-Energy Co., Ltd. (095910) announced that its Japanese subsidiary, S-Energy Japan, has signed the main contract for a solar power plant repowering project with Kamei Co., Ltd., a Prime Market-listed company on the Tokyo Stock Exchange, for approximately 7.2 billion KRW.

S-Energy stated that S-Energy Japan entered into a subcontracting agreement with Kamei to carry out the repowering project at the 'Tojo Mega Solar Farm' in Hiroshima Prefecture. The contract was signed on July 31, and the contract amount, excluding Japanese consumption tax, is 794.7 million yen.

Applying the Seoul Foreign Exchange Brokerage's base exchange rate of 902.13 won per 100 yen at the time of the contract, the project amounts to approximately 7.2 billion KRW. Compared to S-Energy's 2025 consolidated revenue of 102.4 billion KRW, this represents about 7% of the annual total.

With this contract, the previously disclosed expected revenue from the project, announced in April, has now been confirmed as the actual contract amount. At that time, S-Energy projected revenue of approximately 800 million yen for its Japanese subsidiary. Through this agreement, the final amount has been set at 794.7 million yen, excluding Japanese consumption tax.

The revenue from the construction will not be recognized at once but will be reflected sequentially in S-Energy's consolidated results for 2026 and 2027, based on actual project progress and accounting standards.

The repowering target is a special high-voltage solar power plant in Hiroshima Prefecture with a DC capacity of 33 MW. The large-scale project involves replacing existing solar modules to enhance the plant's performance. On-site construction began on August 1, and completion is scheduled for October 31, 2027.

The contract counterpart, Kamei, is a major Japanese trading company founded in 1903 and listed on the Tokyo Stock Exchange Prime Market. As of March 2026, its consolidated revenue was approximately 583 billion yen.

Kamei has demonstrated particular strength in the foundation and structural works of mega solar power plants, expanding its related business based on its capabilities to cover all processes from design and procurement to site construction.

S-Energy Japan continues to expand its solar repowering business in Japan. In February of this year, it signed a repowering contract for the Yotsukaido No.1 Solar Power Plant with a scale of 1.4 MW. With this new 33 MW-scale project, the company is significantly expanding its presence in Japan’s large-scale solar plant repowering market.

S-Energy plans to focus on converting this contract into stable consolidated results. The company will thoroughly manage project progress, costs, and quality, as well as the recovery of payments.

A representative of S-Energy commented, "This contract signifies that the business disclosed last April has now been confirmed as a main contract with a specific contract amount and construction schedule. We will rigorously manage progress, costs, quality, and the recovery of payments to convert this deal into consolidated results."

They added, "By successfully executing this project with Kamei—a company listed on the Prime Market and possessing an extensive record in large-scale mega solar construction—we aim to expand our foundation for securing additional orders in Japan’s large-scale repowering market."

This main contract marks a milestone for S-Energy’s Japanese subsidiary as it expands its order volume from the previously secured 1.4 MW repowering project to a large-scale 33 MW solar power plant, thereby broadening its footprint in Japan’s solar repowering market.

This content was produced with the assistance of AI translation services.