North Carolina, United States — Duke Energy late last week announced that it is leveraging its interests in five of its commercial wind farms to finance continued investments in renewable power.
Duke Energy Generation Services (DEGS), a Duke Energy Commercial Businesses unit that owns and develops renewable power assets, financed a portfolio of wind farms through an affiliate, Green Frontier Windpower Holdings LLC, that includes:
- The 29-megawatt (MW) Happy Jack project in Wyoming, which has 14 Suzlon wind turbines in operation
- The 42-MW Silver Sage project in Wyoming, which has 20 Suzlon wind turbines in operation
- The 70-MW North Allegheny project in Pennsylvania, which has 35 Gamesa wind turbines in operation
- The 99-MW Campbell Hill project in Wyoming, which has 66 GE wind turbines in operation
- The 51-MW Kit Carson project in Colorado, which has 34 GE wind turbines that will come on line in the fourth quarter of 2010
The Green Frontier projects are fully contracted with creditworthy counterparties and for terms of at least 20 years. Green Frontier has secured a 15-year term loan of approximately $325 million and letters of credit totaling roughly $50 million.
The financing was arranged by Credit Agricole Corporate and Investment Bank, along with Banco Bilbao Vizcaya Argentaria, Banco Santander, Bank of Tokyo-Mitsubishi, CoBank, N.A. and Lloyds TSB.
Duke Energy owns and operates 735 MW of commercial wind power generation at seven U.S. sites. With the addition of two projects currently under construction, the company will have nearly 1,000 MW of wind power generation in operation by the end of 2010. In total, Duke Energy has committed more than $1 billion since 2007 to build its wind power business.