The two wind farms will feature advanced GE wind turbine technology
Leeward Renewable Energy has secured $262m financing for repowering of its 90MW Aragonne Wind project and to construct the 145MW Aragonne Mesa Wind project in the US.
Located in Guadalupe County in New Mexico, the two wind farms will feature advanced GE wind turbine technology.
Under a previous power purchase agreement (PPA) with Arizona Public Service Company (APS), the projects will combinedly provide 200MW of wind power for a period of 20 years.
The projects will enable APS to achieve its goal of delivering 100% clean, carbon-free electricity to its customers by 2050, said the company.
Leeward chief financial officer Chris Loehr said: “We are excited to have completed the financings for our Aragonne projects in partnership with Wells Fargo and Santander – two well-respected leaders in the renewable financial community.
“We are grateful to Wells Fargo and Santander for their partnership and investment as Leeward continues to modernize and expand our fleet of projects and deliver clean, renewable energy to our customers.”
Leeward has already started construction at the Aragonne Repower and Aragonne Mesa projects. It is expected to be completed by December this year.
US-based Wells Fargo served as coordination lead arranger, administrative agent and collateral agent, while Santander served as a joint lead arranger on the financing.
The financing is comprised of a construction loan, along with five-year term loan, tax equity bridge loan and a letter of credit facility.
Wells Fargo renewable energy and environmental finance director Sam Buechner said: “We’re pleased to be able to provide multiple funding solutions, including tax equity financing to meet Leeward’s needs for this substantial wind project expansion and repowering effort.
“Wells Fargo is committed to helping our customers succeed during this crucial time of change in the energy economy.”
Leeward owns and operates a portfolio of 21 renewable energy facilities across nine states totalling nearly 2GW of generating capacity.
Earlier this year, the company has agreed to acquire a 10GW US solar project platform, located in the California, Southwest and Southeast markets, from First Solar.