First Wind, an independent U.S.-based wind energy
company, announced it has secured $210 million in financing for the company’s
subsidiary, Palouse Wind, the owner of the 105 MW Palouse Wind project located
in northern Whitman County, Washington.
This financing will help First Wind continue the
construction of the largest renewable energy facility in the county to generate
enough clean energy to power about 30,000 Northwest homes, equal to the total
energy load of all of Whitman County.
The project will feature 58 Vestas 1.8 MW wind turbines with a
generating capacity of about 105 MW of electricity. The energy from the Palouse
Wind project will power local homes and businesses through a power purchase
agreement with Avista. This will be the first wind project built in Avista’s
service territory and it will help Avista achieve its goal of meeting
Washington State’s renewable portfolio standard.
“We appreciate the commitment of our financial partners
and the support of Avista as our utility PPA partner. It is clear the financial
markets view this development as a strong, viable, and well-planned wind
project,” said Paul Gaynor, CEO of First Wind.
Once Palouse Wind is operational, Whitman County will
receive approximately $12 million over the next 20 years in property tax
revenues. The project is expected to be online and operational sometime before
the end of 2012.
“We’re excited to be building our first project in
the Northwest, and we are grateful for the support we have received from the
local community and Whitman County to help us advance this project, which will
bring significant economic benefits to the region including local tax revenues
and work for local businesses,” Gaynor added.
As part of the financing, Palouse Wind closed an
approximate $170 million construction and term facility loan, and letters of
credit of up to $40 million. The financial round lead by KeyBank National
Association and Nordduetsche Landesbank Girozentrale, CoBank ACB, and Banco
Santander served as joint lead arrangers.
“We applaud First Wind’s long term dedication that brings
significant investment to Eastern Washington. The financing of the Palouse
project demonstrates the solid fundamentals of the wind project that will
provide an excellent source of renewable power for Washington ratepayers,” said
Andrew Redinger, managing director and head of KeyBanc Capital Markets Utility,
Power & Renewable Energy practice.
By GreentechLead.com Team
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