A subsidiary of Hoku Corp. will design and build a 7.2 megawatt solar farm on 20 acres of land owned by Alexander & Baldwin Inc. near the Kauai Island Utility Cooperative’s Port Allen power plant.

Hoku Solar, Inc. will partner with electrical contractor Helix Electric Inc. to build the photovoltaic facility that is expected to be operational by the end of the year, Honolulu-based Hoku Corp. (Nasdaq: HOKU) said in a statement.

Alexander & Baldwin (NYSE: ALEX) will sell the power generated by the solar farm back to KIUC under a 2-year agreement approved by the Hawaii Public Utilities Commission.

“Alexander & Baldwin’s investment in solar energy marks another important milestone along Hawaii’s path toward clean energy, and Hoku Solar is proud to have been selected to design and build this solar farm,” Hoku Corp. CEP Scott Paul said in a statement. “We have invested heavily in Hoku Solar’s utility-scale PV capabilities over the last several years, and we look forward to bringing our local team and expertise to bear on this flagship project.”

The two companies did not disclose the value of the contract, but The Garden Island newspaper previously reported the project would cost $25 million.

In December, Hoku Solar completed a 1.18 megawatt solar farm developed by Forest City Sustainable Resources at the Kapolei Sustainable Energy Park, a month after the PUC approved power purchase agreement between Forest City Hawaii and Hawaiian Electric Co.