Sempra Energy (SRE), which operates or is developing solar farms in three states in the U.S. Southwest, completed a 150-megawatt project in Arizona.

The Mesquite Solar 1 power plant in Arlington, Arizona, about 40 miles (64 kilometers) west of Phoenix, has a 20-year contract to sell power to PG&E Corp., San Diego-based Sempra said today in a statement.

Mesquite Solar 1 uses panels produced by Wuxi, China-based Suntech Power Holdings Co. (STP), and is the first phase of a project that may eventually be expanded to as much as 700 megawatts, according to the statement. It currently has enough capacity for about 56,000 homes.

To contact the reporter on this story: Justin Doom in New York at jdoom1@bloomberg.net

To contact the editor responsible for this story: Reed Landberg at landberg@bloomberg.net