Zenith also confirmed that it is in advanced negotiations with three financial institutions to secure construction financing covering up to 90 % of the expected capex. The Company anticipates finalizing the loan agreement upon completion of the tender process, with construction across all three assets targeted to begin by June 2026.

Analyst Group’s View on Construction Launch and Execution Strategy

Zenith’s decision to initiate a construction tender for its Puglia assets marks an important step in the Company’s transition from pure development to execution within its Italian solar strategy. The move aligns with Zenith’s stated ambition to construct selected RTB projects for long-term power production while selectively divesting other development assets to realize near-term profits and recycle capital into further growth.

The Puglia portfolio benefits from attractive structural conditions. Solar irradiation in the region typically ranges between 1 800 and 2 000 kWh/m² per year, supporting indicative capacity factors in the 17–20 % range, which compares favorably with many other European markets. The Andria and Barletta sites are located in the Province of Barletta-Andria-Trani, a relatively newly established province that remains less saturated in terms of grid-access demand and project density, and is characterized by flat terrain. These factors can translate into more advantageous grid-connection terms, reduced curtailment risk, and more predictable timelines to commissioning. Zenith also reported that only limited civil works are required on the land parcels, which should help maintain competitive unit construction costs.

On the financing side, the intention to secure up to 90 % of construction costs through bank debt implies a high degree of project leverage, but also reflects lender interest in the quality of the RTB and late-stage development pipeline. Provided that the facility is agreed on commercially reasonable terms, this structure allows Zenith to advance a meaningful share of its 7 MWp Puglia build-out while preserving group liquidity and maintaining flexibility for additional projects. At the same time, execution depends on final loan covenants, interest margins and security requirements, which remain to be confirmed.

The construction of Andria-1, Andria-2 and Barletta-1 represents the Company’s first multi-MW greenfield build-out within its 110.5 MWp Italian solar portfolio. Successful delivery of this initial 7 MWp package would provide concrete proof of execution for Zenith’s broader model: progressing assets from development to RTB, securing project finance, and converting the development pipeline into operating capacity and, where attractive, saleable assets. In Analyst Group’s view, the outcome of this tender, the final bank terms and the ability to start construction by mid-2026 are key indicators of how efficiently Zenith can scale its Italian solar platform in the coming years.

In conclusion, Analyst Group views the construction tender in Puglia as an important operational milestone that begins to translate Zenith’s growing RTB portfolio into tangible, near-term cash generating assets. While the 7 MWp package is relatively small compared with the Company’s total 110.5 MWp pipeline, it is sufficiently scaled to demonstrate EPC execution capability, project bankability and cash-flow potential under the current Italian power-price environment. Upcoming catalysts include the award of the EPC contract, confirmation of final financing terms and the achievement of RTB status for Andria-2 and Barletta-1. In our view, successful and timely delivery of this initial construction phase would not only validate Zenith’s development model, but also create a strong platform for materially accelerating the build-out of the Company’s Italian solar portfolio over 2026 and beyond.

The current values of the valuation scenarios are: Bear 1.1 NOK, Base 3.2 NOK, and Bull 5.7 NOK.

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This is a press release from Analyst Group regarding the publication of a comment on Zenith Energy Ltd. Readers may assume that Analyst Group has received compensation for making the comment. The Company has not been given an opportunity to influence the parts where Analyst Group has had opinions about the Company, future valuation or anything else that could be considered a subjective assessment.