TransAlta Renewables has achieved commercial operation for its 206MW Windrise onshore wind farm in Canada.
The power company has also announced that its subsidiary, Windrise Wind, has priced a secured green bond offering by way of private placement for approximately €153m to pay for construction, among othert things.
The Windrise project, located roughly 20km southwest of Claresholm in Alberta, features 43 Siemens Gamesa 4.8MW turbines within an area of approximately 44 square kilometres.
It is TransAlta Renewables’ largest wind farm to-date and has a 20-year offtake agreement with the Alberta Electric System Operator (AESO).
The green bond offering will be secured by a first ranking charge over all assets of Windrise Wind, subject to the security granted by the subsidiary to AESO for certain amounts that may become owing in certain circumstances.
TransAlta said the bonds will be amortizing and will bear interest from their date of issue at a rate of 3.41% per annum and mature on 30 September 2041.
Payments on the bonds will be interest-only to and including 31 December 2022, with quarterly blended payments of principal and interest commencing on March 31, 2023, the company added.
TransAlta said the proceeds of the green bond will be used to repay all amounts owing by Windrise pursuant to an intercompany construction loan agreement entered into in connection with the Windrise Facility.
The company added that the finances will also be used to make advances to TransAlta Renewables on a subordinated basis pursuant to an intercompany loan agreement, the proceeds of which will be used to finance or refinance eligible green projects.
Closing of the financing is expected to occur on or around 6 December 2021.
TransAlta president Todd Stack said: “This is our 10th wind facility in Alberta and is the first project to reach commercial operation out of the eight projects awarded through the second and third rounds of the Alberta Electric System Operator’s Renewable Electricity Program.
“The completion of the Windrise Facility during the Covid-19 pandemic demonstrates our team’s execution capabilities and commitment to delivering on our customers’ needs for clean electricity.”