Zenith Energy Expands Italian Solar Portfolio with New Lazio Agrivoltaic Acquisition

Zenith Energy adds a second agrivoltaic project in Lazio – building scale in Italy

Zenith Energy has picked up another agrivoltaic solar development in Lazio, Italy, adding 5 MWp across 10 hectares of farmland. The price tag is EUR 650,000, payable only after permits are in hand and construction begins. This follows the first Lazio deal announced on 6 August, taking Zenith’s Lazio development capacity to 15 MWp.

Agrivoltaic projects combine farming with solar generation, letting land earn on both harvests and electrons. For investors, that’s interesting because it can ease local acceptance and improve land productivity – two big levers for getting projects permitted and built in Europe.

Deal terms in plain English

Key point: the payment structure shifts risk away from Zenith. No cash out until the project is de-risked through permitting and a construction start, which is a sensible approach in Italy’s planning environment.

Italian solar footprint now spans Lazio, Piedmont, Puglia and Liguria

Zenith is building “clusters” in two of Italy’s most attractive solar regions – Lazio and Piedmont – while keeping near-term production and ready-to-build options elsewhere. Here’s the portfolio snapshot as of 26 August 2025:

That mix gives Zenith a blend of near-term activity (Liguria upgrade; Puglia ready-to-build) and a larger development runway in Lazio and Piedmont. The clustering should help with permitting know-how, shared contractors, and procurement.

Revenue projections: what the Study implies for cash generation

Zenith commissioned an independent Study to model a 55 MWp portfolio across Italy using EEX power futures for 2026-2035. The highlights:

• Annual generation: 97,795 MWh
• Average revenues: about EUR 9 million per year from 2026-2031, easing to roughly EUR 8 million per year thereafter
• Gross revenue over first decade: estimated EUR 85.5 million
• Infrastructure life expectancy: approximately 25 years

What does that mean per unit? The Study’s 55 MWp and 97,795 MWh imply an annual capacity factor of about 20.3%. On revenues, EUR 9 million a year equates to roughly EUR 163,000 per MW per year, or about EUR 92 per MWh over 2026-2031. Thereafter, EUR 8 million implies around EUR 145,000 per MW per year, or about EUR 82 per MWh. These are indicative averages based on futures pricing and portfolio assumptions in the Study.

Importantly, the Study references 55 MWp rather than the full 58.5 MWp listed in the current portfolio. The RNS does not explain the difference.

Why this Lazio deal matters for Zenith shareholders

• Scale and clustering: Lazio moves to 15 MWp, matching a strategy to build regional depth alongside Piedmont. That can reduce costs and speed delivery.
• Risk-managed entry: Paying EUR 650,000 only after permits and construction start lowers early-stage risk and helps preserve cash.
• Balanced pipeline: A mix of production, ready-to-build, and development projects gives optionality on timing and capital allocation.
• Revenue runway: The commissioned Study suggests a 55 MWp portfolio could generate approximately EUR 8-9 million per annum at steady state, which, if achieved, would be meaningful against the company’s current scale.

What is not disclosed (and why it matters)

Several key items are not disclosed in this RNS:

• Permitting timeline and milestones for the Lazio projects – not disclosed.
• Total capex per MWp and expected build cost – not disclosed.
• Financing plan (equity vs debt, project finance, or vendor support) – not disclosed.
• Offtake structure (merchant pricing vs power purchase agreements) – not disclosed.
• Grid connection status and dates for the Lazio and Piedmont developments – not disclosed.

These will drive returns and timing. The payment contingency de-risks the land acquisition, but the real value lies in advancing permits, locking in grid, and securing construction and offtake on sensible terms.

Positives and potential watch-outs

What looks positive

• Clear strategy: two regional clusters in Lazio and Piedmont, plus near-term assets in Liguria and Puglia.
• Cost discipline: contingent consideration aligns cash outlay with de-risked milestones.
• Market-aligned pricing: revenue projections use EEX futures, offering a transparent reference for planning.

What to watch

• Permitting progress in Lazio and Piedmont, including any appeals or conditions.
• Conversion of pipeline to ready-to-build, particularly the 30 MWp multi-site in Piedmont.
• Financing structure and cost of capital, which will influence equity returns.
• Of f take strategy: merchant exposure versus PPAs in a volatile power market.
• Execution on near-term catalysts: Liguria upgrade to 0.5 MWp and the build of the 3.0 MWp Puglia project.

My take: a tidy bolt-on that strengthens the Italian playbook

This is a measured, sensible addition. EUR 650,000 for land plus project rights on 5 MWp – paid only once permits and construction are in sight – is a pragmatic way to grow without overreaching. The cluster approach in Lazio and Piedmont should create operational synergies and a smoother permitting path over time.

The Study’s numbers suggest a 55 MWp portfolio could support EUR 8-9 million a year in revenues at steady state. That’s encouraging, but investors will rightly want clarity on capex, financing, and timing before they can assess margins and cash flow. For now, this is a positive step that consolidates Zenith’s Italian footprint and keeps the momentum going.

Next updates to look for: permit wins in Lazio, an EPC and financing plan, and shovels in the ground at Puglia. Deliver those, and the Italian solar thesis starts to turn from pipeline to production.