Enel finances Oklahoma projects
A bank consortium led by JP Morgan has agreed to provide about $400m in financing for Enel Green Power North America’s 200MW Goodwell and 150MW Origin wind projects in Oklahoma.
In exchange, the consortium will receive an equity interest with limited voting rights. This will allow the banks to obtain part of tax benefits to be attributed to the projects, which are qualified for the federal production tax credit, according to Enel.
The consortium will contribute the funds once the plants enter service - fourth quarter this year for Origin and fourth quarter 2015 for Goodwell - subject to compliance with the requirements set out in the capital contribution agreement.
Both projects have long-term off-take power agreements. The company declined comment on turbine supply for the projects.
Enel Green Power chief executive Francesco Venturini says the financing deal further shows his company’s commitment to North America, where it has tripled installed wind capacity in the past four years.
The company recently won approval from the Federal Energy Regulatory Commission to purchase an additional 26% of “Class A” interests in the 249.75MW Buffalo Dunes wind farm in Kansas for $60m from a subsidiary of GE Capital.