China Development Integration Ltd of Hong Kong and state-owned China Machinery Engineering Corp. say they have a deal on the engineering, procurement, construction, and financing of a solar farm with a capacity of 1,100 megawatts in the southeastern Brazilian port of Açu.

The US$1 billion project will be financed in part by Chinese equity funds, the companies say in a joint written announcement they issued on Wednesday.

The first phase of the farm will cover 6.6 million square metres and have a capacity of 300 megawatts, and the second will cover four blocks together measuring 11 million square metres, the developers say.

The companies may later work together on other solar power projects in Brazil, their joint announcement says.