Category Archives: Wind

Exclusive: Brookfields Granite Wind Project Nearing Financial Close

The construction financing of the $225 million, 99 megawatt Granite Reliable wind project in New Hampshire’s Coos County, is expected to close next month.

A few weeks ago the Department of Energy conditionally approved a $135.8 million loan guarantee for the project, which is owned by Brookfield Renewable Power, a unit of the Toronto-based asset management firm.

WestLB is arranging the financing for Brookfield. The German bank  actually applied for the guarantee and will disburse the money. Unlike other DOE loan guarantee programs, Granite’s guarantee is backed by funds from the American Recovery and Reinvestment Act of 2009.

The debt financing includes a 20-year, $120 million bond — about $40 million in direct cash grants — which kicks in at the end of the year when the project is scheduled to go live. Also included in the funding package is a letter of credit of up to $20 million, our source explains.

Granite’s output is fully-contracted to Green Mountain Power and Central Vermont Public Service as part of long-term power purchase agreements.

GDF Suez Unit Closes Acquisition of 99 MW BC Wind Project

Vancouver-based developer Sea Breeze Power has closed the sale of its 99-megawatt Knob Hill wind farm to a unit of French natural gas company GDF Suez.

Given specific development milestones are met, International Power-GDF Suez will pay Sea Breeze roughly C$12 million ($12.1 million) for the Knob Hill wind farm, which has been renamed Cape Scott. The project is located on northern Vancouver Island, near the town of Port Hardy and is scheduled to reach commercial operation in 2012.

The project is expected to cost $300 million to fully develop. When we last talked to Michael Grawley, CEO of IPR-GDF Suez’s Canadian unit, he said his company was targeting debt to finance the project and was aiming to start bank talks once the transaction closed. IPR – GDF SUEZ will provide 100% of the equity funding. Cape Scott is fully contracted as part of a 20-year power purchase agreement to BC Hydro.