SAINT LOUIS, Mo., – Wind energy developer Wind Capital Group announced Thursday that it has closed on financing for the 201 MW Post Rock Wind Energy Project in central Kansas. A group of international leaders in project finance lending is providing over $350 million in debt facilities to support the construction and operation of the project.
“In the midst of tough economic times and uncertainty over the future of federal wind energy policy, this closing is a testament to the strong team we have at Wind Capital Group and serves as an example of how bringing the right people together and having the right business model can lead to success,” said Wind Capital Group Chief Executive Officer Ciaran O’Brien. “We are very pleased to have such strong financing partners for this project, and we greatly appreciate the support shown by our shareholders, including NTR plc, in providing further investment in Wind Capital Group to deliver this project.”
The financing consists of a $293 million construction loan, $63 million in term loan financing, and a $20 million letter of credit facility. BayernLB and Rabobank acted as joint bookrunners for the construction loan, along with two other mandated lead arrangers, Nord LB and Union Bank, N.A. BayernLB and Rabobank also acted as co-bookrunners and mandated lead arrangers for the term loan and Rabobank provided the letter of credit facility.
“We are very pleased to be a part of the team providing financing to Wind Capital Group for the Post Rock Project,” said Alexander von Dobschütz, Global Head Structured Finance at BayernLB. “Wind Capital Group is a long standing client of ours and the management team has a strong proven track record of bringing in projects on time and under budget.”
“Rabobank is pleased to dedicate our resources and expertise to support this important project,” said Ron Klein, Managing Director in Rabobank’s Renewable Energy and Infrastructure Finance-Americas group. “When we established Rabobank’s U.S. renewable energy finance business in 2009, our first financing was for Wind Capital’s Lost Creek project. Our positive partnership with the Wind Capital Group team continues with this successful financing for Post Rock.”
Construction at Post Rock began in 2011 with the project scheduled to come online in the second half of this year. The 201 MW project will provide enough electricity to power over 70,000 homes. Kansas-based electric utility Westar Energy will purchase the power generated at Post Rock under a 20-year power purchase agreement. The project will use 134 General Electric 1.5-82.5 wind turbines.
In addition to the projected completion of Post Rock later this year, Wind Capital Group plans to begin construction on the 150 MW Osage County Wind Energy Project in Oklahoma, bringing the company’s 2012 build program to over 350 MW.