AmericasFeaturedRenewables

Innergex acquires six operating wind farms in US

0

Innergex Renewable Energy has purchased all the Class B shares of a portfolio of six operating wind farms in Elmore County, Idaho, US for a purchase price of $56.8 million from Terna Energy.

The totally installed capacity of the six 23 MW wind farms, Cold Springs, Desert Meadow, Hammett Hill, Mainline, Ryegrass and Two Ponds, is 138 MW.

“The Mountain Air Acquisition is expected to be immediately accretive to Free Cash Flow per share. We are pleased to further expand our portfolio in the United States with fully contracted wind farms. Despite the current crisis, Innergex remains in an excellent position to pursue its growth, and we remain committed to identifying strategic acquisition opportunities on our own as well as through our Strategic Alliance with Hydro Qu├ębec.”

Michel Letellier, President and Chief Executive Officer of Innergex.

The wind farms were fully commissioned in December 2012. The acquisition is expected to produce an estimated gross long-term average of 331 GWh annually and an adjusted EBITDA of US$ 21.1 million for 2021.

The Class B shares will instantly provide Innergex with additional cash available for distribution comprising 62.25 per cent of the free cash flow of the project. After cash payments to the tax equity investor, Innergex’s receivable payments will be around $6.1 million.

The Class A shares will remain the tax-equity partner’s interest. The current long-term, non-recourse project-level financing of US$ 111.1 million amortized for the next 12 years remains in effect.

The Mountain Air wind farms are fitted with a total of 60 Siemens Gamesa 2.3-101 models of wind turbines all connected to a common substation. The wind turbines are subject to a full-scale Service Maintenance Agreement, and all wind farms have power purchase agreements with Idaho Power Company, a power company rated BBB by Standard & Poor’s, for 100 percent of their capacity for a remaining 12.5 years.

Nedim Husomanovic

Nordex Group receives orders of 888MW

Previous article

Path to renewable-powered future

Next article

You may also like

More in Americas

Comments

Comments are closed.