Chicago-based Invenergy has arranged debt and tax equity project financing for its 200 MW Buckeye Wind Energy Center, which currently is under construction in Ellis County, Kan.
Morgan Stanley Senior Funding Inc. and its affiliates acted as the sole lead arranger, administrative agent and lender for the construction financing. Tax equity commitments were provided by financial institutions. Details were not disclosed.
Buckeye is located near the city of Hays, approximately 200 miles northwest of the city of Wichita. The facility will consist of GE 1.79 MW wind turbines, and commercial operation is expected to commence in the fourth quarter of this year. A significant portion of the project output will be sold to Nebraska-based Lincoln Electric System under a long-term power purchase agreement.
"We're pleased to have reached financial close for Invenergy's first power generation project in Kansas, one of the nation's top 10 states for installed wind," says Jim Murphy, chief financial officer and chief operating officer of Invenergy. "The combination of the state-of-the-art GE turbines and our excellent wind resource at Buckeye Wind enables Invenergy to offer exceptionally attractive pricing to our customers. In addition, this is the fourth wind project financing that we've completed with Morgan Stanley, one of our key relationship banks."
Blattner Energy is the project's civil and mechanical contractor, while Henkels & McCoy, EPC Services, and Par Electrical are the contractors for the electrical collection, substation, and transmission line, respectively.
Invenergy says Buckeye is creating approximately 250 construction jobs and a dozen permanent jobs once the project begins operation. The wind farm will further benefit its host community economically through annual payments to Ellis County and lease payments to participating landowners, the company adds.