Canadian Solar subsidiary Recurrent Energy has closed financing for the 60MW Barren Ridge solar power project currently under construction in Kern County, California.
The developer has agreed a debt facility from a group of banks led by Rabobank and including Santander Bank, NordLB, Key Bank, and CIT. The $115m includes construction debt, a tax equity bridge loan and a term loan option for the project.
Canadian Solar also secured a tax equity investment commitment from US Bancorp Community Development Corporation in the project.
Recurrent Energy will be the managing member and plans to own and operate the project.
The project is expected to reach commercial operation in the third quarter of 2016.
It started construction earlier this year with Swinerton Renewable Energy serving as the provider of engineering, procurement, and construction services.
The electricity and associated renewable energy credits generated by the facility will be sold under a long-term power purchase agreement to Los Angeles Department of Water and Power.
Canadian Solar chairman and chief executive officer Shawn Qu said: “Investment in clean energy projects from industry leading investors and financiers such as USBCDC and the lender club demonstrates the success of the solar industry moving into our mainstream energy mix.
“Securing financing for the Barren Ridge solar project is an important milestone as we work to bring our pipeline of late stage projects to operation.”
Image: Barren Ridge will start commercial operations in Q3 2016 (Canadian Solar)
