Silicon Ranch is currently developing a 12MW solar power project in Highland Industrial Park, located in the city of East Camden Arkansas, the US.
The project is expected to contribute to ongoing clean energy development and economic growth in the region.
Under the terms of the agreement, power generated from the facility will be sold to Aerojet Rocketdyne for the 1,200-acre site leased in East Camden.
Scheduled to be complete in late 2015, the power plant can generate enough electricity to power about 2,400 homes.
Aerojet Rocketdyne Environmental, Health and Safety vice president Chris Conley said: "This agreement better positions our company to attain these objectives and is a critical step toward bringing more renewable energy to rural America.
"It will contribute to state and federal energy portfolio goals, as well as many of the economic challenges that face businesses."
Excess solar energy generated from the plant will be released to AECC and integrated into the cooperative’s diverse generation portfolio.
AECC president and chief executive officer Duane Highley said: "AECC is strongly committed to exploring all available power-generation options and partnerships in its mission to provide our members with reliable, affordable energy in a responsible manner.
"AECC is excited about pursuing innovative projects of this nature that will provide long-term benefits to its members."
