enXco, an EDF Energies Nouvelles company, has closed financing for its 205.5MW Lakefield wind energy project in the US state of Minnesota.
Dexia Credit Local and Societe Generale led the club debt financing, which includes construction plus a 15-year term loan; and a bridge loan to the ITC cash grant from the US Department of Energy, and ancillary credit facilities.
Union Bank and MetLife are providing a portion of the construction facilities and CP Energy Group served as MetLife’s financial advisor.
Construction of the wind facility, located in Jackson County, started in late September 2010 and the project is expected to be fully operational in late 2011.
The power project, developed by enXco, consists of 137 units of GE 1.5MW turbine with the capacity to generate enough energy for about 68,000 homes.
enXco will continue to manage and operate the facility under long-term agreements with enXco Service Corp, and retains an option to purchase back the facility.
Indianapolis Power & Light will buy the electricity generated by the project under a 20-year power purchase agreement.
The permanent financing of the power project is structured as a leveraged lease whereby Union Bank and MetLife have committed to purchase the project at the start of commercial operations and lease it back to enXco.