Arevon Energy has secured a $250m tax equity commitment from Wells Fargo Bank for the development of its two-phase 430MW DC Kelso Solar Project in Scott County, Missouri, US.
The financing contributes to Arevon's $4.5bn in solar and energy storage project financings secured over the past 24 months.
Arevon began the construction of the $500m Kelso Solar Project this May. The project is the company’s first utility-scale renewable venture in the state.
Arevon plans to manage the project over the long term, with phase one expected to commence operations by the end of 2025 and phase two by early 2026.
Once functional, the project will enhance Missouri's solar capacity by nearly 50%.
Wells Fargo acted as the tax equity investor for this transaction.
Arevon chief investment officer Denise Tait said: “This substantial tax equity raise - among the largest in Arevon’s history - demonstrates Arevon’s strong financial stewardship and our successful track record in executing transactions that fuel the company’s continued growth.”
The construction phase is providing jobs for over 450 workers and stimulating local economies through increased spending.
The project is projected to contribute more than $34m to local government funds, benefiting schools, infrastructure, and emergency services.
Wells Fargo Renewable Energy & Environmental Finance managing director Andrew Kho said: “We are pleased to support Arevon with tax equity financing for the Kelso Solar Project and are proud to continue our longstanding relationship as they expand their renewable energy activity into Missouri.”
Previously, Arevon disclosed a $509m financing package and the execution of two long-term environmental attributes purchase agreements with Meta for the Kelso project.
Expanding its Midwest US portfolio, Arevon is constructing additional solar projects in Indiana, preparing to start the Big Muddy Solar Project in Illinois, and developing other renewable energy facilities in the region.
The company has also integrated 480MW of solar energy into operations across various communities.
