Wednesday, December 8, 2010

First Wind Secures $98 Million Financing for Rollins Wind Project

Just got this from First Wind...

Clean energy project will create construction jobs, local tax revenues, work for small local businesses and clean energy for about 23,000 homes

Boston, MA—December 3, 2010—First Wind, an independent U.S.-based wind energy company, today announced that it has obtained $98 million in financing for its 60 Megawatt (MW) Rollins Wind project in Penobscot County, Maine.

First Wind closed an $81 million non-recourse construction loan and a $17 million letter of credit facility for the Rollins project. Key Bank National Association (KeyBank) and Norddeutsche Landesbank Girozentrale (Nord/LB) served as the joint lead arrangers for the financing. In addition to the financing, JPM Capital Corporation has executed a tax equity financing agreement with a subsidiary of First Wind. When the project goes into commercial operation, JPM Capital will provide long-term capital to take out the construction loan.

“These financings are important milestones in the development and construction of our Rollins Wind project,” said Paul Gaynor, CEO of First Wind. “It demonstrates the strength of this project and the viability of wind power in Maine. We appreciate the commitment of our financial partners, which will help First Wind deliver clean, renewable energy for Maine residents and businesses, as well as significant economic benefits in terms of construction jobs, local tax revenues and work for local businesses. First Wind has worked hard to develop and build the Rollins project the right way. These financings show that the capital markets recognize that this is a strong, well-planned project.”

Since the end of September, First Wind has raised $357 million in financing and repaid $118 million in short-term turbine supply loans. Financings include the funds for the Rollins project, $247 million for the 68-turbine expansion of its Milford, Utah project, and $12 million for its Steel Winds facility in Lackawanna, NY.

“We are very pleased to have played a leading role in First Wind’s financing of the Rollins project,” said Andrew Redinger, Managing Director and Head of Power & Utilities at KeyBank. “We applaud First Wind’s dedication and the Joint Lead Arrangers’ commitment in successfully closing this financing. The Rollins project, following the success of First Wind’s three Maine projects, demonstrates that this is an excellent source of low-cost renewable power for Maine ratepayers.”