Toronto-based Schneider Power Inc. (SPI) has completed its previously announced transaction and signed a definitive framework and limited partnership agreement with Energy Farming Invest Inc. (EFI), a subsidiary of German wind project developer Energy Farming International AG.
Pursuant to the framework agreement, EFI has agreed to provide the project equity and debt financing for the construction of the 10 MW Arthur Wind Farm in Ontario and conditionally agreed to provide the project equity financing for the construction and commission of three additional Ontario wind projects with a combined nameplate capacity of 26.5 MW. EFI's obligations to provide funding for these three projects is conditional on SPI's acquiring final building permits and is subject to certain termination rights that EFI holds until Sept. 30.
Under the terms of the definitive agreements, SPI will retain a 20% interest in each project and receive a development fee of up to C$2.3 million (C$1.4 million guaranteed). The company will also be involved in the construction process and will be compensated for construction and operations management for each project.
SOURCE: Schneider Power Inc.