Coal producer Peabody has launched R3 Renewables to pursue the development of over 3300MW of solar PV and 1600MW of battery storage capacity over the next five years.
R3 Renewables is a JV with Riverstone Credit Partners and Summit Partners Credit Advisors.
The partnership brings together collective strengths in renewable energy project development, environmental management, extensive land holdings, permitting, and capital markets, Peabody said.
R3 Renewables initially will be engaged in the development of six potential sites on large tracts of land on or near previous coal mining operations in Indiana and Illinois.
The portfolio size and strategic site locations, each of which is in close proximity to grid injection points, offer the potential for the development of the largest solar and battery storage projects in both Indiana and Illinois, Peabody added.
Peabody president and chief executive Jim Grech said: “We are pleased to announce this new joint venture as part of Peabody’s commitment to be the coal producer of choice, creating additional value from our existing assets, supporting our own and our customers’ ESG ambitions and providing added economic benefits for the communities in which we work and live.
“Both Riverstone and Summit Partners have deep experience across energy and growth sectors, and we believe R3 will benefit from their collective perspective on renewable energy solutions.”
Riverstone managing director Daniel Flannery added: “We are excited to partner with Peabody and Summit Partners as we launch R3 Renewables.
“As one of the world’s largest private investment firms focused on energy, power, decarbonization and infrastructure, we believe we are well positioned to assist R3 Renewables to reclaim, reimagine and repower the region by pursuing these ambitious and transformative renewable energy projects.”
Industry veteran John Jones has been appointed as chief executive of the new company.
He brings nearly 30 years of expertise in the independent power industry, including senior roles at renewable industry leaders GE EFS, Lincoln Clean Energy (now Orsted North America Onshore) and Invenergy.