Greentech Lead America: Pattern Energy Group is starting construction of the 218-megawatt Panhandle Wind Project funded by GE unit GE Energy Financial Services and Citigroup unit Citigroup Global Markets.
The project uses Texas’ new Competitive Renewable Energy Zone transmission infrastructure connecting to the state’s main power grid operator, the Electric Reliability Council of Texas.
Panhandle Wind will sell power to Citigroup Energy under a long-term hedge offtake agreement. Pattern, which developed the project, is serving as its managing member and will provide operations and maintenance, is receiving construction loans from BayernLB, Credit Agricole Corporate and Investment Bank, Nord/LB, Landesbank Baden-Wuerttemberg, RBC, RBS and Societe Generale.
Mortenson Construction is overseeing construction of Panhandle Wind, which will use 118 GE 1.85 megawatt, 87-meter turbines. Completion is estimated in August 2014. Financial details of the equity and debt transactions were not disclosed.
“Through our use of GE turbine technology and our partnership with financial institutions GE Energy Financial Services and Citigroup, we are harnessing the abundant wind resource of the Texas Panhandle to generate clean energy and to benefit the local communities,” said Pattern Energy CEO Mike Garland.
Panhandle Wind is creating more than 200 construction jobs and, over the project’s life, will contribute millions of dollars through a community benefits program and property taxes to Carson County, the White Deer and Panhandle School Districts, and the Panhandle Groundwater Conservation District, Garland said.
Since 2007, Citi has directed over $44.4 billion towards clean energy financing and investment as part of its 10-year, $50 billion Climate Initiative.
The Panhandle Wind Project will generate enough electricity to power 60,000 homes equivalent to approximately 460,000 metric tons of greenhouse gas emissions per year.