This financing, which is nonrecourse to Boralex, facilitates the construction and operation of four wind farms that have a total installed capacity of 40 MW. Construction has already begun, and the first farm is expected to begin producing electricity in the fall. To date, each project is on time and on budget.
The financing, repayable without penalty at Boralex's discretion, will be amortized over a period of 19 years, although it has a term that ends Sept. 4, 2014. The amount equals about 55% of the total cost of the four projects. Benefiting from an interest-rate swap, Boralex will receive a fixed interest rate of about 6.4% for the duration of the loan.
In 2007, Boralex signed an agreement to acquire nine wind farms in the Windsor area of Ontario, with a total capacity of 90 MW. The first four farms were purchased in September 2008.
SOURCE: Boralex Inc.