Enel Selling Majority Stake In Kansas, Oklahoma Wind Farms

0

Enel S.p.A., through Enel Green Power North America (EGPNA), has signed an agreement with investment fund Gulf Pacific Power LLC for a stake in EGPNA subsidiary Rocky Caney Wind LLC.

Under the cash equity deal, Enel S.p.A. will sell to the fund 80% of the Class A shares in Rocky Caney Wind LLC, the owner of the 200 MW Caney River wind farm in Kansas and the 150 MW Rocky Ridge wind farm in Oklahoma. The total consideration for this transaction is approximately $233 million, which will be paid upon the closing of the deal, expected by the end of this year.

Following the closing of the transaction, EGPNA will continue to manage, operate and perform maintenance activities at both wind farms while retaining a 20% ownership of the Class A interest in Rocky Caney Wind LLC. Furthermore, upon closing, Enel will deconsolidate Caney River and Rocky Ridge’s debt, amounting to approximately $140 million.

The Caney River wind farm, which is located in Elk County, began operations in 2011 and is able to generate around 765 GWh each year. The Rocky Ridge facility, located in Kiowa and Washita counties, began operations in 2012. The plant is able to generate roughly 600 GWh of power each year. Caney River sells its electricity output to the Tennessee Valley Authority, while Rocky Ridge sells it to the Western Farmers Electric Cooperative, both under long-term power purchase agreements.

Gulf Pacific Power is an investment fund formed to make equity investments in North American power assets. It is backed by commitments from the California Public Employees’ Retirement System and Harbert Management Corp.

Leave a Comment
Your email address will not be published. Required fields are marked *

avatar
  Subscribe  
Notify of