Etrion Announces Start of Construction on 34 MW in Japan

October 14, 2014, Geneva, Switzerland - Etrion Corporation (“Etrion” or the
“Company”) (TSX: ETX / OMX: ETX), a solar independent power producer, today
announced the start of construction on its first 34 megawatts (“MW”) in Japan
jointly owned with Hitachi High-Technologies Corporation (“Hitachi High-Tech”)
(TSE: 8036), a subsidiary of Hitachi, Ltd. (“Hitachi”).

Marco A. Northland, Etrion’s Chief Executive Officer, commented: “We are pleased
to begin construction on schedule for our first 34 MW in Japan with our partner,
Hitachi High-Tech. We have now demonstrated our unique execution capability in
the Japanese solar market – from greenfield development through project finance
and construction – and we look forward to accelerating our growth in the months
ahead.  Etrion and Hitachi are committed to delivering shovel-ready or under
-construction projects in Japan totaling 100 MW by 2015 and 300 MW by 2017.”

Shizukuishi Solar Project (24.7 MW)

Shizukuishi is a 24.7 MW utility-scale solar photovoltaic (“PV”) power plant
under construction on one site in the Iwate Prefecture of Japan. Construction
-related works began this month, and the solar project is expected to be
operational by the end of 2016. The solar power plant is being built on 51
hectares of leased land, and the facility will connect through Tohoku Electric
Power Co., Inc. (“Tohoku Electric Power utility”). The project has entered into
a 20-year power purchase agreement (“PPA”) with the Tohoku Electric Power
utility to receive ¥40 per kilowatt-hour (“kWh”) produced (approximately US$0.37
per kWh). Once operational, Shizukuishi is expected to produce approximately
25.6 gigawatt-hours (“GWh”) of solar electricity per year.

Mito Solar Project (9.3 MW)

Mito is a 9.3 MW utility-scale solar PV power project including five sites under
construction in the Ibaraki Prefecture of Japan. Construction began this month,
and the solar project is expected to be operational by the end of 2015. The
solar power plant is being built on 27 hectares of leased land, and the facility
will connect through the Tokyo Electric Power Company (“TEPCO”). The project is
expected to enter into a 20-year PPA by the end of 2014 with TEPCO to receive
¥40 per kWh produced (approximately US$0.37 per kWh). Once operational, Mito is
expected to produce approximately 10.3 GWh of solar electricity per year.

The total project cost for both projects is being financed approximately 80%
through project debt from Sumitomo Mitsui Trust Bank, Limited with an 18-year
tenor. The first drawdown of the project loan for Shizukuishi was recently
completed. The remaining approximate 20% equity portion for the projects is
being funded by Etrion and Hitachi High-Tech based on their respective ownership
interests in each project of approximately 87% and 13%.

The projects are both being built by Hitachi High-Tech using Hitachi’s proven
engineering, procurement and construction (“EPC”) capabilities. Hitachi High
-Tech will also provide the technology, including fixed-tilt solar panels
manufactured by Canadian Solar and inverters made by Hitachi. Operations and
maintenance (“O&M”) services will be provided by Hitachi High-Tech through a
long-term fixed-price agreement for each project.

About Etrion

Etrion Corporation is an independent power producer that builds, owns and
operates utility-scale solar power generation plants. Etrion owns 17 solar power
plants in Italy with approximately 60 MW of installed capacity. The Company also
has a 70 MW solar project under construction in Chile and two projects totaling
34 MW under construction in Japan. Etrion is actively developing greenfield
solar power projects in both Chile and Japan. The Company is listed on the
Toronto Stock Exchange in Canada and the NASDAQ OMX Stockholm exchange in Sweden
under ticker symbol “ETX”. Etrion’s largest shareholder is the Lundin family,
which owns approximately 24% of the Company’s shares directly and through
various trusts.

For additional information, please visit the Company’s website at www.etrion.com
or contact:

Pamela Chouamier – Investor Relations

Telephone: +41 (22) 715 20 90

Etrion discloses the information provided herein pursuant to the Swedish
Securities Market Act. The information was submitted for publication at 08:05
Central European Time (CET) on October 14, 2014.

Forward-Looking Information:

This press release contains certain “forward-looking information” within the
meaning of applicable Canadian securities laws.  All statements, other than
statements of historical fact, that address activities, events or developments
that Etrion believes, expects or anticipates will or may occur in the future
(including, without limitation, statements relating to the timing and scope of
new solar projects anticipated to be developed by the Company and Hitachi High
-Tech, the anticipated start of operations for Shizukuishi and Mito and the
expected production of electricity from such solar plants, and the anticipated
conclusion of a PPA for Mito) constitute forward-looking information. This
forward-looking information reflects the current expectations or beliefs of the
Company based on information currently available as well as certain assumptions
including, without limitation, the ability of the Company to acquire and develop
additional renewable energy projects and obtain project financing on economic
terms, the ability of the Company and its partner to complete construction of
Shizukuishi and Mito according to plan, and the Company’s ability to conclude a
PPA for Mito in a timely manner and on economic terms. Reliance should not be
placed on forward-looking information. Forward-looking information is subject to
a number of significant risks and uncertainties and other factors that may cause
the actual results of the Company to differ materially from those discussed in
the forward-looking information, and even if such actual results are realized or
substantially realized, there can be no assurance that they will have the
expected consequences to, or effects on the Company. Factors that could cause
actual results or events to differ materially from current expectations include,
but are not limited to, the risk that the Japanese government may alter its
stated goals for the growth of renewable energy production, the risk that the
Company may not be able to identify and/or acquire renewable energy projects in
the time frame expected, uncertainties with respect to the receipt or timing of
all applicable permits for the development of such anticipated projects, the
risk that the Company may not be able to obtain project financing on economic
terms, the risk that unforeseen construction delays occur, the risk that
Shizukuishi and Mito do not perform as expected as a result of lower solar
irradiation and/or technical problems, and the Company’s inability to conclude a
PPA with TEPCO in a timely manner and in accordance with expected economic
terms.

Any forward-looking information speaks only as of the date on which it is made
and, except as may be required by applicable securities laws, the Company
disclaims any intent or obligation to update any forward-looking information,
whether as a result of new information, future events or results or otherwise.
Although the Company believes that the assumptions inherent in the forward
-looking information are reasonable, forward-looking information is not a
guarantee of future performance and accordingly undue reliance should not be put
on such information due to the inherent uncertainty therein.