Advanced Power closes $1.3bn financing to build South Field Energy

28 August 2018 (Last Updated August 28th, 2018 13:02)

Advanced Power has secured $1.3bn in financing to build South Field Energy, a 1.18GW combined-cycle natural gas electric generating facility in Columbiana County, Ohio, US.

Advanced Power has secured $1.3bn in financing to build South Field Energy, a 1.18GW combined-cycle natural gas electric generating facility in Columbiana County, Ohio, US.

The new facility is jointly owned by Advanced Power and an investor group, which includes Kyushu Electric Power, NH-Amundi Asset Management and PIA Investment Management, RS Global Capital Investment, Shikoku Electric Power, and an affiliate of Bechtel Development Company.

“The generators will produce enough electricity to power nearly one million homes in the region.”

For this project, Crédit Agricole Corporate and Investment Bank, CIT Group, GE Energy Financial Services, NH Investment & Securities Co., and ten other commercial banks have agreed to provide senior secured credit, as well as other credit facilities.

Advanced Power CEO Thomas Spang said: “Advanced Power is proud to have delivered the South Field Energy project. The community has supported South Field Energy from the beginning. The environmental, economic and regional tax-based benefits are clear and well understood.

“The community has worked closely with us and we are pleased to be able to deliver our second major project in Ohio and third major project in the US.

“We and our partners, who are leaders in the energy and finance sectors, will construct a state-of-the-art low-carbon electric generating facility that will benefit both the State’s energy portfolio and the people who rely on it.”

The combined-cycle natural gas electric generating facility will feature two GE gas turbines, each of which will be equipped with a heat recovery steam generator and a steam turbine generator.

The generators will produce enough electricity to power nearly one million homes in the region.

Advanced Power will be responsible for the construction of the plant and will serve as an asset manager. It will also manage the facility that will sell energy, capacity and ancillary services into the PJM market.

Bechtel will serve as the engineering, procurement and construction (EPC) contractor for the energy centre, which is slated for completion in the second quarter of 2021.

During the peak construction period, the power is expected to create nearly 1,000 construction jobs.