US-based wealth management company Greenbriar Capital has begun formal construction at its 80MW Blue Mountain, Utah wind energy project near Monticello in the US.
RMT, which has been awarded an engineering, procurement and construction contract, started construction on 9 December 2013, making the project qualify for $42m federal investment tax credits that require the developers to begin construction on their projects before 1 January 2014.
The company, through its wholly-owned US subsidiary Greenbriar Capital Holdco, has acquired the project from Champlin Windpower in August 2013.
The acquisition agreement has immediately granted Greenbriar a 50% interest in the project, while the company will get the remaining stake after carrying out two milestone tasks. It has acquired the initial 50% stake through a three-year loan with an annual interest of 10% to prevent share dilution.
Greenbriar has mandated Rabobank to arrange up to $150m project financing and has appointed Rabo Securities USA, an affiliate of Rabobank, as its exclusive financial advisor with the placement of limited partnership interests in the project.
The project will significantly contribute to the local economic growth through various ways, including creating more than 100 construction jobs and offering full-time operational jobs, and paying the county government more than $15m in local property tax over the life of the project.
The project will supply its output to PacifiCorp under a 20-year power purchase agreement signed in November 2011 and will curb more than four million tonnes of greenhouse gases.
Greenbriar Capital CEO Jeffrey Ciachurski said the company is once again working with RMT for the project.
"Having RMT begin the construction at Blue Mountain is a major milestone event for the shareholders of Greenbriar Capital. We look forward to bringing the 80-MW Blue Mountain, Utah Project online," said Ciachurski.
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