Invenergy LLC closed the project construction financing for two of the largest renewable energy assets in its portfolio.
The company said it closed the financing of the 160-MW Southern Oak solar farm in Mitchell County, Ga., and 302.4-MW Santa Rita East wind farm in Irion County, Texas, on Dec. 19, 2018.
The projects are slated for commercial operations later in 2019, according to two separate news releases.
Upon completion of the wind farms, Invenergy will sell a 75% majority stake in the power plant to American Electric Power Co. Inc. subsidiary AEP Renewables and retain the remaining 25% interest while continuing to provide operations, asset management and energy management services as part of a 20-year agreement. The facility's output will be sold to several buyers: 100 MW to Mexico-headquartered baked goods maker Grupo Bimbo SAB de CV 100 MW to pharmaceutical company Novartis AG and 60 MW to pharmaceutical company Merck & Co. Inc. under three separate virtual power purchase agreements entered in 2018.
The entire output of the solar facility, which S&P Global Market Intelligence refers to as the Camilla Solar Energy facility, is secured under a power purchase agreement with Southern Co. utility Georgia Power Co. through 2049.
CoBank ACB acted as sole lender, issuing bank, collateral agent and administrative agent on the solar deal. Santander Consumer USA Holdings Inc. and Rabobank NA acted as co-lead arrangers and issuing banks. Santander served as administrative agent for the wind farm.