Financial close for 243 MW onshore wind project in the USA
Longroad Energy, a US-based renewable energy developer, owner and operator, has announced the financial close and start of construction of its 243 MW El Campo wind farm in Knox County, Texas. The two Danish pension funds PKA and PenSam, represented by their investment manager AIP, also became long-term investors alongside Longroad.
The total cost of the project is approximately US$335 million, and it is expected to achieve commercial operation by July of 2020.
The project will contribute nearly US$20 million in property taxes to the Benjamin Independent School District, Knox County, Knox County Hospital District, and other local taxing authorities. The El Campo project is expecting to provide employment for approximately 200 people during construction. Eight full-time staff will manage the day to day operations of the facility.
The project has two corporate PPAs: DaVita Inc. has signed a Power Purchase Agreement (PPA) for 83 MW while Crown Holdings will take 111 MW in its PPA. Vestas American Wind Technology Inc. will supply 67 wind turbines ranging in size from 2.0 MW to 4.2 MW each, and the project will be built by Mortenson under an EPC agreement.
On the financing front, BHE Renewables is the sole tax equity investor. The lending group is led by KeyBank N.A. and includes HSBC Bank, CIBC, and Zions Bancorporation, N.A.
Finally, Longroad Energy’s affiliate, Longroad Energy Services, will provide construction management, asset management, operations and maintenance, and remote monitoring services to the project over a 20-year term.
CEO of Longroad Paul Gaynor said - “Longroad is pleased to bring this deal through this crucial step and to partner with PKA and PenSam through AIP. We are proud of our track record in developing, financing, constructing, owning and operating well-structured renewable assets in the US. This approach appealed to AIP and its investors; and the investment in El Campo is a great first step to take with our new partners. It’s great to be able to work with high caliber groups such as PKA, PenSam, and AIP. We hope this is the first of many partnerships with this team in the US.”
Country news
-
-
July 10, 2019
PPA deal for 200 MW solar project in the USA
EDF Renewables North America has signed a Power Purchase Agreement (PPA) deal with NV Energy for the Arrow Canyon Solar Project. The project features 200 megawatts (MWac) photovoltaic park with 75 MW-5hr battery storage and is located in Clark County, Nevada. It is expected to begin delivery of clean electricity in December 2022.
Read more -
June 26, 2019
Developer selected for US largest offshore wind farm
New Jersey Board of Public Utilities (NJBPU) has awarded Ørsted as the preferred bidder for the New Jersey’s first large-scale offshore wind tender with a 1.1 GW project named "Ocean Wind". It will be the first offshore wind farm in the US to cross the 1 GW mark. The NJBPU unanimously voted for Ørsted´s project.
Read more -
June 21, 2019
World’s Largest Renewable Energy Storage Project in USA
Mitsubishi Hitachi Power Systems (MHPS) and Magnum Development announced an initiative to launch the Advanced Clean Energy Storage (ACES) project in central Utah. In the world’s largest project of its kind, the ACES initiative will develop 1,000 megawatts of 100 percent clean energy storage, thereby deploying technologies and strategies essential to a decarbonized future for the power grid of the Western United States.
Read more -
June 20, 2019
400 MW PPA approved for the offshore wind farm in the USA
The Rhode Island Public Utilities Commission unanimously approved the 20-year PPA between Danish offshore wind company Ørsted and the US-based energy company Eversource with the natural gas and electricity provider National Grid. The PPA is for 400 MW in wind power capacity from the 704 MW Revolution Wind offshore wind project.
Read more -
June 12, 2019
Construction begins on USD3.1bn 1,150 MW wind plan in the USA
Rocky Mountain Power, regional utility in the USA kicked off construction efforts on Energy Vision 2020 on June 5 during a groundbreaking in Carbon County. Energy Vision 2020 is Rocky Mountain Power’s plan to add more wind power and transmission in Wyoming, as well as make the state’s existing wind turbines more efficient.
Read more
