Terra-Gen secures financing for California solar storage facility
Join Our Newsletter - Get important industry news and analysis sent to your inbox – sign up to our e-Newsletter here
X

Terra-Gen secures financing for California solar storage facility

03 Aug 2021 (Last Updated August 6th, 2021 08:12)

The solar storage project will generate enough clean energy to power more than 158,000 homes in the region.

US-based renewable energy provider Terra-Gen has secured financing for the initial phase of its Edwards Sanborn Solar Storage facility in Kern County, California.

The Edwards Sanborn Solar Storage facility is composed of solar modules with 346MWac of combined capacity, as well as 1,501MWh of battery storage.

The project is expected to generate enough clean energy to power more than 158,000 homes while offsetting 307,000tpa of carbon emissions.

Terra-Gen secured $804m in senior secured credit facilities, which include a construction and term loan facility worth $400m, a $328m tax equity bridge facility and a $76m construction and revolving letter of credit facility.

Terra-Gen CEO Jim Pagano said: “This financing allows us to complete the ongoing construction of the first phase of the Edwards Sanborn Solar Storage facility and help California meet its carbon reduction goals through the deployment of large-scale renewable energy.”

Mortenson is serving as the engineering, procurement and construction (EPC) contractor for the solar and energy storage facilities.

First Solar will supply its solar modules for the project, while LG Chem and Samsung have agreed to provide batteries.

The project currently employs more than 500 union workers and could employ a further 250 during its peak phase.

Terra-Gen expects the initial battery storage capacity of 735MWh to come online in the third quarter of this year, with the remaining capacity of the initial phase becoming operational by the second quarter of next year.

The company plans to finance the project’s next ‘near-term’ phases of the project later this year, which are scheduled to come online in the second half of next year and early 2023.

Once completed, the near-term phases will have 760MWac of solar capacity and 2,445MWh of energy storage.

Last month, Ormat Technologies completed its previously announced acquisition of TG Geothermal Portfolio, a subsidiary of Terra-Gen.