Enel signs tax equity deal for 298MW Thunder Ranch windfarm
Through its subsidiary Thunder Ranch Wind Holdings, Enel Green Power North America (EGPNA) has signed a tax equity agreement for the 298MW Thunder Ranch windpower project located in Oklahoma, US.
The $330m deal was signed with Goldman Sachs’ Alternative Energy Investing Group and General Electric unit GE Energy Financial Services.
As part of the agreement, Alternative Energy Investing Group and GE Energy Financial Services will buy full ‘Class B’ and ‘Class C’ equity interests in the project, respectively. The investors will also be able to receive a percentage of the fiscal benefits of the project.
In addition, EGPNA will be able to retain complete ownership of the ‘Class A’ interests and management control.
Construction of the Thunder Ranch project began in May this year. Closing of the funding is expected to take place once the farm starts commercial operation, which is expected to begin by the end of this year.
The Thunder Ranch project is anticipated to require an overall investment of around $435m, and in full operation it will be able to generate more than 1,100GWh power annually.
The resulted output is expected to be sufficient to meet the annual consumption needs of more than 89,400 households in the US.
Following commissioning, Thunder Ranch will be supported by long-term power selling agreements, which include a recently-signed deal with AB InBev’s US-based subsidiary Anheuser-Busch.