N2OFF, Inc: Solterra Advances JV Solar PV Project Following Key Zoning Submission in Melz, Germany

Rhea-AI Summary

N2OFF, Inc. (NASDAQ: NITO) and Solterra Renewable Energy have made significant progress on their joint venture solar PV project in Melz, Germany. The companies recently submitted a statutory plan draft (B-PLAN) to the Melz municipality, marking a important step in the municipal approval process. The project has already secured approval for grid connection with a capacity of 97 MW, which exceeds the current design requirement by approximately 10%.

This excess capacity opens up two potential pathways to maximize value: increasing the project's capacity by up to 10% or incorporating battery storage solutions. The current project design aims to deliver an aggregate capacity of 111 MWp. N2OFF's CEO, David Palach, expressed satisfaction with Solterra's progress, highlighting their expertise in regulatory matters, infrastructure development, and partnership establishment.

Positive

• Submission of statutory plan draft (B-PLAN) to Melz municipality, advancing the approval process
• Secured grid connection approval with 10% excess capacity
• Potential to increase project capacity or incorporate battery storage solutions
• Project design aims for 111 MWp aggregate capacity

Negative

• None.

Insights

Energy Policy Analyst

The submission of the B-PLAN draft to Melz municipality marks a crucial regulatory milestone for N2OFF and Solterra's joint venture solar project. This step is essential for zoning approval, but it's important to note that public hearings and final approvals are still pending. The project's 97 MW grid connection capacity, exceeding requirements by 10%, offers strategic flexibility. This surplus could be leveraged to increase project capacity or integrate battery storage, potentially enhancing the project's value proposition and grid stability contributions. However, investors should be aware that regulatory processes in Germany can be complex and time-consuming, which may impact the project's timeline and ultimate profitability.

Renewable Energy Engineer

The technical specifications of this solar PV project are noteworthy. With a planned 111 MWp capacity and a 97 MW grid connection, the project is substantial in scale. The 10% additional approved grid capacity is a significant advantage, offering two valuable options:

• Expanding the project's capacity, potentially increasing energy output and revenue
• Incorporating battery storage, which could optimize grid integration and potentially access additional revenue streams through grid services

Both options could enhance the project's economic viability and grid value. However, the choice between expansion and storage will depend on factors like local energy demand patterns, grid requirements and economic incentives, which aren't detailed in the announcement.

Financial Analyst

While this update indicates progress, its financial impact remains uncertain. The project's advancement through regulatory stages is positive, but no financial projections or timelines are provided. Key financial aspects to consider include:

• Capital expenditure requirements
• Expected revenue streams and profitability
• Potential government incentives or subsidies

The 10% additional capacity could potentially increase the project's value, but without concrete financial data, it's challenging to quantify the impact on N2OFF's bottom line. Investors should note that large-scale renewable projects often have long development cycles and delayed revenue recognition. While the progress is encouraging, it's premature to significantly alter financial projections for N2OFF based solely on this update.

A statutory plan draft (B-PLAN) was recently submitted to the Melz municipality

Neve Yarak, Israel, Sept. 18, 2024 (GLOBE NEWSWIRE) -- N2OFF, Inc.\ (NASDAQ: NITO) (FSE:80W) (“N2OFF” and the “Company”), a clean tech company engaged in sustainable solutions for energy and innovation for the agri- tech, and Solterra Renewable Energy Ltd. (“Solterra”) today announced additional progress in connection with the integration of Solterra’s Solar PV joint venture project in Melz, Germany.

The municipal approval process for integrating the solar facility within Melz’s zoning plan requires district approval before the municipality can proceed with presenting the statutory plan draft for public hearing. The JV took an important step forward by submitting the statutory plan (B-PLAN) draft to the city.

N2OFF previously announced that Solterra obtained approval to connect the PV solar project to the power grid of a regional energy provider. Furthermore, the current project design requires a grid connection of 97 MW to deliver an aggregate capacity of 111 MWp. The approved grid connection capacity exceeds such requirement by approximately 10%, providing two potential pathways to maximize the value: (i) increasing the project’s capacity by up to 10%; or (ii) incorporating battery storage solutions.

David Palach, N2OFF’s CEO, added "We are pleased with Solterra's steady progress on our joint project. The expertise of the Solterra team is evident across various aspects of the project, including regulatory and statutory matters, infrastructure development, and establishing partnerships.”

About N2OFF Inc:

N2OFF, Inc. (formerly known as Save Foods, Inc.) is a clean tech company engaged in sustainable solutions for energy and innovation for the agri- tech. Through its operational activities it delivers integrated solutions for sustainable energy, greenhouse gas emissions reduction and safety, quality solutions for the agri- tech market. NTWO OFF Ltd., N2OFF's majority-owned Israeli subsidiary, aims to contribute in tackling greenhouse gas emissions, offering a pioneering solution to mitigate nitrous oxide (N₂O) emissions, a potent greenhouse gas with 310 times the global warming impact of carbon dioxide. NTWO OFF Ltd., aims to promote agricultural practices that are both environmentally friendly and economically viable. N2OFF recently entered the solar PV market and will provide funding to Solterra Renewable Energy Ltd. for the current project in the total Capacity of 111 MWp, as well as potential future projects. Save Foods Ltd., N2OFF's majority-owned Israeli subsidiary, focuses on post-harvest treatments in fruit and vegetables to control and prevent pathogen contamination. N2OFF also has a minority ownership in Plantify Foods, Inc., a Canadian company listed on the TSXV that offers a wide range of clean-label healthy food options. For more information on Save Foods Ltd. and NTWO OFF Ltd. visit our website: www.n2off.com.

Forward-looking Statements:

This press release contains forward-looking statements within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995 and other Federal securities laws. Words such as “expects,” “anticipates,” “intends,” “plans,” “believes,” “seeks,” “estimates” and similar expressions or variations of such words are intended to identify forward-looking statements. Because such statements deal with future events and are based on our current expectations, they are subject to various risks and uncertainties including the success of our collaboration with Solterra, entry into future projects, our ability to successfully enter the solar PV sector, the profitability of such industry, and the potential added value of the increased capacity. Actual results, performance or achievements could differ materially from those described in or implied by the statements in this press release. The forward-looking statements contained or implied in this press release are subject to other risks and uncertainties, including market conditions as well as those discussed under the heading “Risk Factors” in N2OFF’s Annual Report on Form 10-K filed with the SEC on April 1, 2024, and in any subsequent filings with the SEC. Except as otherwise required by law, we undertake no obligation to publicly release any revisions to these forward-looking statements to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events. References and links to websites have been provided as a convenience, and the information contained on such websites is not incorporated by reference into this press release. We are not responsible for the contents of third-party websites.

Investor Relations Contacts:
Michal Efraty
michal@efraty.com

FAQ

What is the current status of N2OFF's solar PV project in Melz, Germany?

N2OFF and Solterra have submitted a statutory plan draft (B-PLAN) to the Melz municipality, advancing the approval process for their joint venture solar PV project. They have also secured grid connection approval with excess capacity.

What is the approved grid connection capacity for N2OFF's Melz solar project?

The approved grid connection capacity for the Melz solar project is 97 MW, which exceeds the current design requirement by approximately 10%.

How does N2OFF (NITO) plan to maximize the value of the excess grid capacity?

N2OFF has two potential pathways to maximize value: increasing the project's capacity by up to 10% or incorporating battery storage solutions.

What is the targeted aggregate capacity of N2OFF's Melz solar PV project?

The current project design aims to deliver an aggregate capacity of 111 MWp for the Melz solar PV project.