Tea Producer Oriental Rise Forges Agreement for 50MW Solar Integration

Oriental Rise Holdings Limited (NASDAQ: ORIS), an integrated tea supplier operating in mainland China, has formalized a strategic arrangement to explore the deployment of solar photovoltaic generation systems across its agricultural holdings. The collaboration centers on evaluating "agro-photovoltaic" development, a model that merges renewable energy infrastructure with ongoing tea cultivation to achieve dual land utilization.

The core of this initiative is a strategic cooperation agreement, confirmed on March 10, 2026, between Oriental Rise's subsidiary, Fujian Mindong Hong Tea Industry Technology Co., Ltd. ("Mindong Hong"), and Shandong Yiyang Zhongji New Energy Co., Ltd. ("Zhongji New Energy"). Signed in Ningde, China, on March 9, 2026, the agreement tasks Zhongji New Energy, a specialized renewable energy developer, with developing distributed solar photovoltaic systems on land within the plantations deemed underutilized or non-essential for immediate cultivation.

The projected scale of this undertaking involves a planned installed capacity of approximately 50 megawatts (MW), underpinned by an estimated total investment of roughly RMB165 million. The long-term partnership framework stipulates that Zhongji New Energy will manage the investment, construction, and subsequent operation of the solar arrays. In return, Mindong Hong will provide essential coordination support and site access under a lease term estimated at around 20 years, with potential for extension.

This strategic pivot aligns with China's national directive to promote renewable energy integration within agricultural environments to unlock latent economic value and advance environmental sustainability goals. Oriental Rise's CEO, Mr. Dezhi Liu, stated that this exploration into renewable energy integration is a constructive measure to bolster the long-term viability and optimal utilization of their agricultural infrastructure. The structure effectively mitigates immediate capital exposure for Oriental Rise, as Zhongji New Energy assumes the primary investment burden, though the project's realization is contingent upon successful technical feasibility assessments and securing necessary regulatory approvals.

The concept of agro-photovoltaics is gaining traction across China, which possessed approximately 3.43 million hectares of tea fields as of 2023, presenting substantial potential for integrated solar solutions. Research into similar PV-integrated tea plantation models suggests that the moderate shade provided by panels can improve tea quality by alleviating midday light stress, potentially increasing leaf yield by 9.3–15.3% and enhancing resistance to environmental stressors like frost and heat. Shandong Province, where Zhongji New Energy is based, is actively contributing to China's national goals of peaking carbon emissions before 2030 and achieving carbon neutrality by 2060, with its installed capacity of photovoltaic and biomass power generation reportedly ranking first in the nation.

The agreement’s 20-year lease duration signifies a commitment to a long-term synergy between energy production and land stewardship, potentially establishing a significant benchmark for other agricultural enterprises seeking to diversify asset utilization through infrastructure partnerships. The entire framework, while ambitious in its 50 MW scope, remains in an evaluative stage pending final definitive agreements and governmental sign-offs.