Mainstream Renewable Power has closed a $280m “mezzanine” construction finance facility with AMP Capital Infrastructure Debt Fund IV to support a 1300MW build out in Chile.
The proceeds will be used to fund a portion of construction equity towards a three-phase 951MW onshore wind and 350MW solar PV construction campaign known as Andes Renovables.
The $1.8bn platform is comprised of seven onshore wind and three solar PV generation assets.
The 570 MW first phase, “Condor”, encompasses three wind farms with 426MW of combined capacity and a 145MW solar asset.
It reached financial close in 2019 and construction is already 43% complete with operation set to start 2021, Mainstream said.
The 630MW second phase, “Huemul”, features three onshore wind projects (425MW) and two solar PV generation assets (205MW) due online by 2022.
The next and final phase, “Copihue”, is comprised of one further wind asset with a 100MW capacity due online in 2022.
The $280m mezzanine financing is structured in three separate tranches with the “Condor” and “Huemul” tranches drawn at closing, the “Copihue” tranche is expected to be drawn once that platform reaches financial close in H1 2021.
The AMP Capital facility complements the $1.25bn of senior project finance debt raised to date through two separate financings completed in October 2019 and August 2020.
All conditions required to allow for the first drawdown under the $630m Huemul senior project financing were satisfied.
Mainstream’s chief financial officer Paul Corrigan said: “Mainstream is delighted to be working with AMP Capital to finance one the largest wind and solar platforms in Latin America.
“This deal follows closely on the heels of the $630m Huemul senior project financing which we announced at the beginning of September.
“We place great value on our large group of capital providers – ranging from commercial banks, to insurance companies and sureties, to alternative lenders – who have worked together seamlessly to provide us with more than $1.5bn of flexible and efficient financing structures that enable Mainstream to focus our efforts on building out one of the largest independent renewable energy platforms in the world.”
AMP capital global head of infrastructure debt Patrick Trears said: “Mainstream is a world leader in renewable energy and is exactly the type of partner we seek to work with to provide innovative financing solutions.
“We look forward to helping Mainstream achieve its goal of bringing low cost, sustainable energy to communities globally.”