CPV Renewable Energy Company (CPV Renewable Energy) announced that it closed financing for the construction of its 165.6 MW Cimarron Wind Energy Project in Gray County, Kansas. The company began construction of the renewable energy facility in early December 2011 and expects that the Cimarron project will achieve commercial operation in November 2012.
The project's 72 Siemens 2.3 megawatt turbines will supply Tennessee Valley Authority (TVA) customers with renewable energy under a 20-year power purchase agreement. CPV Renewable Energy was awarded the power purchase agreement as part of TVA's 2009 Request for Proposals for renewable generation. The project is managed by a CPV affiliate, is being constructed by Wanzak Construction, a MasTec Company, and will be operated by North American Energy Services.
Coordinating Lead Arrangers Bank of Tokyo Mitsubishi UFJ and Union Bank of California were joined by Mandated Lead Arrangers Helaba, Siemens Financial Services and Lloyds in providing $262.8 million of senior credit facilities.
"CPV is pleased to once again bring clean renewable wind powered generation to southwest Kansas," said Sean Finnerty, CPV REC Sr. Vice President. "The Cimarron project adds to CPV's growing asset base and will provide low cost, reliable wind generation to the Tennessee Valley Authority for years to come."
This milestone caps a year during which CPV's 800 MW gas-fired Sentinel Energy Center, which supports the expansion of wind energy and reliability in Southern California, was heralded by Project Finance International as "Power Deal of the Year" for the Americas. In December 2010, CPV commissioned its Kennan II wind farm in Oklahoma.
With its unique, diversified clean energy approach to development, CPV is succeeding in the most challenging environments.
"CPV's portfolio of over 1,100 MW of clean, reliable generation in construction or operation shows the value of a diversified approach to power generation," said Doug Egan, CPV Chairman and CEO. "We are happy to add the Cimarron project to the growing list of projects CPV has in operation and construction."
