The financing is structured as a construction loan with a seven-year commercial bank tranche co-led by Deutsche Bank and RBC Capital Markets and a 20-year tranche funded by the North American Development Bank. The commercial tranche financing also included The Royal Bank of Scotland, Societe Generale, NORD/LB and KeyBank.
The Ocotillo Wind project is currently under construction and most of the project will be placed into commercial operation in 2012 with a small portion reaching commercial operation in early 2013.
Most of the road and civil work has been completed, including a majority of the turbine foundations, and over 30 wind turbines are assembled. The American-made Siemens wind towers, blades and nacelles continue to arrive daily. The towers are made in California, manufactured by Ameron International, while the blades are made in Iowa and the nacelles are made in Kansas.
Ocotillo Wind will be the first renewable energy project to interconnect into the newly constructed Sunrise Powerlink, a 500-kV transmission line that was developed to bring renewable power from the Imperial Valley to San Diego. The wind project will provide clean and renewable energy equal to the needs of about 125,000 homes in Southern California each year.
The Ocotillo Wind Community Benefits Program will contribute funding through the Imperial Valley Community Foundation to be administered by a granting process for causes benefiting the Imperial Valley, along with financial backing for the Imperial Valley Food Bank and the Imperial Valley Desert Museum.
The Ocotillo Wind project has created over 350 jobs during construction, utilizing many workers and subcontractors from the local region. The project will generate substantial tax revenues over the next 30 years, benefiting Imperial County and local schools, among others.
The Ocotillo Wind project was selected by the Bureau of Land Management to help America reach its clean energy goals and protect its future energy security. Once operational, the project will use less than 120 acres, about 1 percent of the area that was set aside for the project.
Pattern entered into a 20-year power purchase agreement with San Diego Gas & Electric (SDG&E) for the sale of energy produced by the project. Blattner Energy is managing construction of the project.
Ocotillo Wind will be Pattern Energy’s fifth operating wind project in North America and upon completion it will bring the company’s total to more than 900 MW of installed wind power capacity. Pattern expects to complete a wind project in Puerto Rico and bring a number of wind projects in Canada into construction over the next 12 months.