Australia and New Zealand Banking (ANZ) has closed the debt portion of funding for the $450-million Burgos wind project in Burgos wind project, reports MST Business.
Earlier, Energy Development has signed a $315-million financing agreement with foreign and local banks to finance this 150-megawatt project.
EDC Burgos Wind Power plans to complete phase I of the Burgos wind farm in the fourth quarter and phase II is scheduled for completion in the first quarter of 2015, at a total cost of $450 million.
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The transaction was a milestone for the Philippine renewable energy industry that focuses on the strength of ANZ and EDC in the sector, noted, Panadda Manoleehakul, chief executive, ANZ, Philippines and Thailand.
EBWPC will be incorporating for the development, construction, operations and maintenance of the project, utilizing the resources and expertise of the First Gen group.
Officially, Burgos wind farm will be the biggest operating wind farm in the Philippines, comprising a total of 50 Vestas V90-3.0MW wind turbine generators.
It is decided that the electrical output will be sold under the FIT (feed-in tariff) system of the Renewable Energy Act 2008.
Other lead financial institutions were Norddeutsche Landesbank Girozentrale, DZ Bank, ING Bank, Maybank, Security Bank, Philippine National Bank, BDO Unibank and Land Bank of the Philippines.
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It’s not an additional loan, but the project financing that was meant to fund the Burgos wind project. EDC just pre-funded the initial construction activities while EDC were negotiating the project financing, said, Nestor Vasay, chief finance officer, EDC.
The construction of the project is managed by a consortium led by interfacing manager Parsons Brinckerhoff Australia. Contractors include Vestas Australian Wind Technology, Vestas Service Philippine, First Balfour and PT Alstom Grid and Alstom Philippines.
Operations and maintenance will be undertaken by Vestas Services Philippines and First Balfour.
Sabeena Wahid