Dual financing offer proceeds Texas' utility-scale solar run

• Two even more utility-scale solar projects in Texas with an incorporated capacity of more than 400MWdc have closed financing, continuing the Lone Star state's flourishing solar run.

US-based designer Longroad Energy announced monetary close and the beginning of building at its Prospero 2 solar project, a 331MWdc solar farm in Andrews County. Situated adjacent to Longroad's existing Prospero 1 project, the range is slated to come onstream in Q2 2021.

The project will certainly combine First Solar's Series 6 panels with inverters from Power Electronics and Nextracker installing frameworks. Engineering, purchase and also building will be performed by Swinerton Renewable Energy.

Construction as well as term lending was led by CIT Group, while fellow sponsors Zions, Rabobank, HSBC, Commerzbank, Siemens Financial Services as well as National Australia financial institution participated in the financing team. US Bank is the sole tax equity capitalist in the project.

Funding is underpinned by two 15-year power acquisition agreements which cover the project's produced power. Those have actually been authorized with DaVita, which has actually formerly signed PPAs with Longroad, as well as a subsidiary of Zimmer Biomet Holdings.

"It's always challenging settling offers, but much more so in today's difficult market. We wish to compliment our lead financing and also tax obligation equity companions, US Bank and also CIT Group, for being particularly positive and also supportive throughout the process," Peter Keel, CFO at Longroad, stated.

In shutting Prospero 2, Longroad has taken the complete capacity of wind and solar projects developed, financed as well as built by the company in Texas to beyond 2GW.

The development complied with information from previously this week that Pattern Energy had actually closed funding and also started construction on a Texan solar project of its very own.

The 105MWdc Phoenix Solar Project, situated in Fannin County, will certainly likewise use First Solar's Series 6 modules and also Nextracker trackers, while Mortenson Construction will certainly supply design and construction services.

ING Capital has given building and term project funding for the project, while RBC Community Investments, a subsidiary of RBC, has actually supplied tax equity.

Mike Garland, CEO at Pattern Energy, described the Phoenix Solar Project as a "win-win" for residents of Fannin County. "Clean energy projects make sense for communities due to the fact that they are the most inexpensive kind of brand-new power and also their financial investments return tasks, development as well as favorable economic effect in the rural areas where they are created," he claimed.

The dual dosage of project financing news comes amidst a flurry of solar task in the Lone Star state, which is becoming a particularly eye-catching location for solar financial investment. Last month saw Japanese energy Tokyo Gas go into the market with a 500MWac project purchase, with the similarity Duke Energy, Lightsource BP and also RWE all finishing or beginning projects in Texas considering that the turn of the year.

Analysis put together last month by the Institute for Energy Economics and Financial Analysis concluded that a rise in brand-new utility-scale solar will certainly press much of Texas' remaining coal-fired plants into retirement in the next couple of years, such is the speed of implementation and financial benefit.