Invenergy has completed construction financing for its largest wind energy development to date, the 999MW Traverse Wind Energy Center.
Located in Custer, Blaine, and Kingfisher Counties in Oklahoma, Traverse is the largest of three wind energy projects being developed by Invenergy as part of the 1485MW North Central Wind Energy Facilities.
Santander, MUFG, Natixis, SMBC, and CIBC acted as coordinating lead arrangers for the financing, which includes a construction loan and letter of credit.
Global investor GE Energy Financial Services is a partner in the project.
The other two projects, the 287MW Maverick Wind Energy Center in Major, Garfield and Kingfisher Counties and the 199MW Sundance Wind Energy Center in Woods and Major Counties, both achieved financial close in December 2020.
Rabobank, CoBank, KeyBanc, and NordLB acted as lead arrangers for both financings, which each include a construction loan and letter of credit.
All three projects are currently under construction, and American Electric Power (AEP) will assume ownership of the three wind farms upon start of commercial operations to serve customers of subsidiaries Southwestern Electric Power Company (SWEPCO) and Public Service Company of Oklahoma (PSO).
Sundance is expected to begin commercial operations this spring, Maverick later this year, and Traverse in early 2022.
Invenergy senior vice president for finance and capital markets Meghan Schultz said: “The close of construction financing for the Traverse Wind project, Invenergy’s largest wind development to date, is a significant milestone.
“This transaction, in addition to the recent Maverick and Sundance financial closings, is a testament to Invenergy’s strong lender relationships and financing capabilities as well as the compelling value of wind investments.”
The three projects represent a combined $2bn (€1.6bn) capital investment in north central Oklahoma, directly investing in the local economy through new tax revenues and lease payments to participating landowners.
The complete projects will generate enough electricity to power 440,000 American homes, Invenergy said.
Invenergy Services, a subsidiary of Invenergy, will provide operations and maintenance, balance of plant, energy management, and asset management services under a 10-year agreement, adding to the 10GW global sustainable energy project portfolio it manages.