Greentech Lead America: Innergex Renewable Energy, a
Canadian independent renewable power producer, has signed a definitive
agreement with Finavera Wind Energy to acquire its Wildmare wind energy
project for approximately $22.0 million. The transaction is expected to
close by the fall of 2012.
“This acquisition marks another milestone for
Innergex, as we add our first wind project in British Columbia and expand our
wind energy activities outside the province of Quebec. We are expanding our
pipeline of projects under development with power purchase agreements, in order
to ensure a sustainable level of growth over the long-term,” said Michel
Letellier, president and chief executive officer of Innergex.
Wildmare is a wholly-owned wind project by Finavera Wind,
located on Crown lands in the Peace River region of British Columbia, Canada.
Wildmare has a total installed capacity of 77 MW, with an estimated yearly
energy output of 238,200 MWh, enough to power almost 24,000 BC
households.
BC Hydro will purchase all electricity produced by the
project under a 25-year power
purchase agreement. The project is currently in the permitting phase,
scheduled to begin commercial operation in 2015. The project is expected to
produce revenues of approximately $28.0 million in its first full year of
operation.
During the construction period prior to the closing of
the transaction,
Innergex and Finavera will work together to advance the project through its
environmental assessment process and to continue consultation with Finavera’s
First Nation partners.
The total cost of the project, including the
consideration paid to acquire it, is estimated to be $217.0 million,
approximately two thirds of which will be financed with project-level debt and
the balance financed with equity.