enXco, an EDF Energies Nouvelles company, says it has closed financing on its 205.5 MW Lakefield wind project, located in Jackson County, Minn.
Dexia Credit Local and Societe Generale led the debt financing, which included lenders Cobank, Banco Santander, Helaba and Lloyds TSB. The financing includes a construction plus a 15-year term loan, a bridge loan to the Treasury Department cash grant and ancillary credit facilities. Union Bank NA and MetLife are providing a portion of the construction facilities. CP Energy Group served as MetLife's financial adviser.
The permanent financing of the project is structured as a leveraged lease whereby Union Bank and MetLife have committed to purchase the project at the start of commercial operations and lease it back to enXco. enXco will continue to manage and operate the wind project under long-term agreements with enXco Service Corp. and retains an option to purchase back the facility.
Construction on the Lakefield Wind Project commenced in late September 2010, and the project is scheduled to be fully operational by this fall. The project consists of 137 GE 1.5 MW turbines, and Indianapolis Power & Light will purchase the power generated under a 20-year power purchase agreement.