Solel Awarded $2.6 Million Grant From Spanish Government

The construction of the plant in La Carolina is expected to be completed in 2012, however, part of the manufacturing lines will be operational already this year. Solel expects to employ in the coming year 70 workers in the new facility, and by 2012, with the completion of the facility, 300 workers will be employed by Solel in La Carolina. Investment by Solel in first Spanish facility is $12 million, and total investment by Solel in manufacturing plants in Spain is expected to reach $140 million.

Solel commenced operations in Spain in 2006, and supplies the technological heart to 15 solar thermal power plants, with a combined capacity of 750 MW, built or under construction by Spain’s leading infrastructure companies. In addition to being a technology provider, Solel has joined with Sacyr Vallehermoso, a leading Spanish construction company, in a joint venture to build three power plants with a total capacity of 150 MW. The first of these plants, the 50 MW Lebrija 1 facility, will begin operations in 2010.

"We are grateful to the governments of Andalusia and of Spain for the confidence they have shown us and their commitment to both technological advancement and renewable energy," said Avi Brenmiller, President and CEO of Solel. "Through their policies, Spanish governments are encouraging the development of new sources of energy, and contribute to the creation of new workplaces in Spain. Our new facility will deliver Solel’s state-of-the-art equipment and technology that reduce the cost of producing solar energy".

About Solel Solar Systems Ltd.

Solel Solar Systems provides clean, renewable and affordable solar energy. Its highly innovative and commercially proven solutions are the global standard for utility scale solar thermal power. Solel’s SunField LP solar field provides a lifetime of "solar fuel", built in from Day One. Its UVAC 2008 is the world’s best selling solar receiver.

Solel is currently building three solar power plants in Andalusia, Spain, and its American subsidiary, Solel, Inc., is developing the 553 MW Mojave Solar Park in California. Nine power plants in California using Solel’s technology have been operating successfully for over twenty years, producing 350 MW of electricity and eliminating the need for two million barrels of oil annually.

Solel employs about 500 workers, with its headquarters, manufacturing plant and R&D center in Beit Shemesh, Israel. It operates in the U.S. and Spain through subsidiaries, and is represented for sales in Spain by PASCH Y CIA.

www.solel.com/