N2OFF (NITO) said Friday that it has signed a binding letter of intent with Solterra subsidiary Solterra Brand Services Italy to buy and develop two battery storage systems in Sicily, Italy.

Each system will have a capacity of 98MWp or 392MWh, N2OFF said.

In November, the companies signed a non-binding term sheet that provided the framework to buy and develop projects with a total investment of up to approximately 2.4 million euros ($2.5 million), which will be paid upon reaching certain milestones.

Under the agreement, N2OFF would hold approximately 70% ownership in the projects, N2OFF added.