Lightsource BP has secured a $250m financing package for its 260MW Impact solar project in the US.
Located in Texas’s Lamar County, the clean energy generated by the solar project will be traded under a long-term agreement with BP.
Lightsource BP Americas CEO Kevin Smith said: “At Lightsource BP we’re on a mission to rapidly accelerate the growth in renewable energy while maximising the environmental and local community benefits of each of our solar projects.
“We’re looking forward to working with our partners, suppliers and the community in Lamar County to bring this responsible solar approach to our project in Texas.”
Construction works at the site have already been initiated and are being carried out by Swinerton Renewable Energy. The solar power facility is expected to come online by the end of this year.
The project is expected to create nearly 300 employment opportunities during the construction, operations, maintenance and asset management phases.
Once completed, the project will generate enough clean energy to power more than 34,000 homes in the Texas market, while offsetting 268,675 metric tonnes of greenhouse gas emissions annually.
For this project, the senior debt facility was provided by HSBC Bank USA and National Westminster Bank (NatWest).
HSBC served as the coordinating lead arranger and NatWest served as the joint lead arranger along with HSBC. Bank of America provided tax equity financing.
BP Gas and Low Carbon Energy incoming executive vice-president Dev Sanyal said: “This project demonstrates that the competitiveness of solar energy means that power offtake structures widely and historically used for conventional generation are now gaining traction for solar energy projects.
“We see an exciting future from the increase in competitive renewable energy in the US power markets, and opportunities to integrate this with trading and customer capabilities.”