Terra-Gen lands $650m financing for 300MW at Alta Wind

Terra-Gen Power continues its record of success in financing construction of one of the largest US wind developments with a $650m deal to add 300MW at the Alta Wind Energy Center (AWEC) in California.

A syndicate of international banks are providing construction, seven-year term and bridge loans for the 168MW Alta Wind 7 and 132MW Alta Wind 9 projects, which will increase capacity at the broader AWEC to 1,320MW. The bridge loans provide financing until the projects are complete and can qualify for the 30% Treasury cash grant.

The projects at the wind-rich Tehachapi pass will use 100 Vestas V90-3.0MW wind turbines. Vestas in 2010 won its largest order for 190 V90-3.0 machines to supply the AWEC.

Last year, Terra-Gen completed a similar financing package for another pair of AWEC projects, Alta Wind 6 and 8, together totaling 300MW and using the same Vestas technology. That deal was for $631m.

Terra-Gen says the financing for Alta Wind 7 and 9, which will produce power for Southern California Edison as part of a 1.55GW power purchase agreement the utility signed for the output of the AWEC, was "oversubscribed".

Co-book runners were Union Bank and RBS Securities. Joint lead arrangers were Bank of Montreal, Canadian Imperial Bank of Commerce, Key Bank, KfW IPEX Bank, and Santander. Also participating were Sumitomo, BayernLB, DZ Bank, and Associated Bank.

The projects are on course for completion in the fourth quarter, with Blattner Energy leading construction.

User

Become a Recharge subscriber!

Or try our free trial.

Order Subscription

Already a member?

Login


Recharge Monthly Magazine