Etrion Announces Operational Update and Preliminary 2015 Production

January 14, 2016, Geneva, Switzerland – Etrion Corporation (“Etrion” or the
“Company”) (TSX: ETX / OMX: ETX), a solar independent power producer, announces
an operational update and preliminary production results for the year ended
December 31, 2015.

Italian Solar Assets

During 2015, Etrion’s 100%-owned 60-megawatt (“MW”) solar portfolio in Italy
produced approximately 102.4 million kilowatt-hours (“kWh”) of electricity, 1.8%
more than in 2014.  Etrion’s Italian solar parks receive the weighted average
feed-in-tariff (“FiT”) of approximately EUR 0.30 per kWh plus the spot price for
each kWh of electricity produced.  During 2015, the Italian spot price averaged
EUR 0.05 per kWh.

Etrion previously announced the renegotiation of all its operations and
maintenance (“O&M”) contracts in Italy. This initiative reduces expected O&M
expenses for the 60 MW Italian solar portfolio by approximately US$1.6 million
per year while securing a higher level of service.

Chilean Solar Assets

During 2015, Etrion’s 70%-owned 70 MW Salvador solar power plant in northern
Chile (“Project Salvador”) produced approximately 162.9 million kWh of
electricity, below expectations due to lower than expected solar irradiation and
electricity curtailments applied to all generators in the area near Project
Salvador to balance supply and demand due to network bottlenecks expected to be
resolved in 2017.

Project Salvador began operations in January 2015 and approximately 65% of the
electricity produced is currently sold on the spot market and delivered to the
Sistema Interconectado Central (“SIC”) electricity network. As previously
announced, Project Salvador executed a long-term power purchase agreement
(“PPA”) with EE-ERNC-1, an investment grade off-taker. The PPA is for
approximately 35% of Project Salvador’s production for 15 years and started on
January 1, 2016, at approximately US$0.10 per kWh. Project Salvador is seeking
additional PPAs to secure its long-term revenues.

The spot prices in the SIC electricity network in Chile were unusually low
during 2015 and particularly low in the second half of 2015 due to a combination
of local grid congestion, increasing solar and wind electricity generation,
strong hydro electricity production due to wet winter conditions, aggravated by
“el Nino”, and low electricity demand because of depressed mining activity as a
result of the collapse in commodity prices. The average spot price received by
Project Salvador in 2015 was approximately US$0.05 per kWh. Spot prices are
expected to stabilize to the long-term projections by 2017 when the Sistema
Interconectado del Norte Grande (“SING”) and SIC electricity networks are
scheduled to be connected and the SIC network expansion is expected to be
completed.

Etrion recently amended the existing O&M contracts with Sunpower Corporation for
Project Salvador. Under the new terms, which were effective October 1, 2015,
Etrion has secured an annual fee reduction of approximately 35% and increased
the level of service.

Japanese Solar Assets

During 2015, Etrion’s 87%-owned 9.3 MW Mito solar project in the Ibaraki
Prefecture of Japan produced a total of approximately 5.5 million kWh of
electricity, well above expectations. All five sites of the Mito cluster have
been operational since August 2015. Under the Japanese FiT program, the Mito
project has a 20-year PPA with Tokyo Electric Power Company (“TEPCO”) whereby
the project receives ¥40 per kWh (currently equivalent to approximately US$0.34
per KWh) of electricity produced.

Etrion’s 87%-owned 24.7 MW Shizukuishi solar project is under construction on
one site in the Iwate Prefecture of Japan. The Shizukuishi project is fully
funded, on schedule and is expected to be operational by the third quarter of
2016. The Shizukuishi project has a 20-year PPA with the Tohoku Electric Power
utility at ¥40 per kWh. Project construction is proceeding on budget.

Japanese Backlog

Etrion’s Japanese backlog of 76 MW (gross) of solar power projects in Japan is
expected to be shovel-ready in the first half of 2016. Estimated total project
costs of US$3.0 million per MW are expected to be funded with 10%-15% equity and
85%-90% non-recourse project debt. Etrion’s net project equity required is
estimated to be approximately US$5.5 million in 2016 and US$5.2 million in 2017.
Etrion plans to finance these requirements with a combination of unrestricted
cash, distributions from existing operations and partial sale of projects, as
required. The Company does not plan to issue any equity to fund this backlog.

About Etrion

Etrion Corporation is an independent power producer that develops, builds, owns
and operates utility-scale solar power generation plants. The Company owns 139
MW of installed solar capacity in Italy, Chile and Japan. Etrion has a 25 MW
solar project under construction in Japan and is also actively developing
greenfield solar power projects in Japan and Chile. 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:

Paul Rapisarda – Chief Financial Officer

Telephone: +41 (22) 715 20 90

Note: The capacity of power plants in this release is described in approximate
megawatts on a direct current (“DC”) basis, also referred to as megawatt-peak
(“MWp”).

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 January 14, 2016.

Forward-Looking Information:

This press release contains certain “forward-looking information”. 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
expected reductions in O&M expenses for Etrion’s Italian solar portfolio, the
expected stabilization of spot electricity prices in Chile, the anticipated
timing for the Shizukuishi project to become operational and for Etrion’s
Japanese development projects to be shovel-ready and anticipated project costs
and financing requirements for the Japanese development projects). This forward
-looking information reflects the current expectations or beliefs of Etrion
based on information currently available to it as well as certain assumptions
(including assumptions as to the impact of the renegotiated O&M contracts for
the Italian solar portfolio, that the SING and SIC networks will be connected
and the SIC network expansion will be completed on schedule, that the
Shizukuishi project will also become operational on schedule, as to the timing
of receipt of necessary permits for the Japanese development projects  and as to
the project costs and financing requirements for the Japanese development
projects). Forward-looking information is subject to a number of significant
risks and uncertainties and other factors that may cause actual results 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,
Etrion. Factors that could cause actual results or events to differ materially
from current expectations include, but are not limited to, the risks that the
reduction in O&M expenses for Etrion’s Italian solar portfolio will be less than
anticipated, the proposed connection of SING and SIC networks and the proposed
SIC network expansion will not be completed on schedule, spot electricity prices
in Chile will not stabilize as anticipated, the completion of the Shizukuishi
project will be delayed, Etrion may not be able to obtain all applicable permits
for the development of the Japanese development projects, Etrion may not be able
to  obtain the necessary financing for such projects on economic terms and the
development costs for such projects may be higher than anticipated.

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, Etrion 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
Etrion 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 thereof.