Invenergy, a privately held global developer and operator of sustainable energy solutions, has completed construction financing for the 999 MW Traverse Wind Energy Center.
Located in Custer, Blaine, and Kingfisher counties, Okla., Traverse is the largest of three wind energy projects being developed by Invenergy as part of the 1,485 MW North Central Wind Energy Facilities. Santander, MUFG, Natixis, SMBC and CIBC acted as coordinating lead arrangers for the financing, which includes a construction loan and letter of credit. GE Energy Financial Services, a global energy investor, is a partner in the project.
The other two projects – the 287 MW Maverick Wind Energy Center in Major, Garfield and Kingfisher Counties and the 199 MW Sundance Wind Energy Center in Woods and Major Counties – both achieved financial close in December 2020. Rabobank, CoBank, KeyBanc and NordLB acted as lead arrangers for both financings, which each include a construction loan and letter of credit.
All three projects are currently under construction. American Electric Power (AEP) will assume ownership of the three wind farms upon the start of commercial operations to serve customers of subsidiaries Southwestern Electric Power Co. (SWEPCO) and Public Service Co. of Oklahoma (PSO). Sundance is expected to begin commercial operations this spring, Maverick later this year and Traverse in early 2022.
“The close of construction financing for the Traverse Wind project, Invenergy’s largest wind development to date, is a significant milestone,” says Meghan Schultz, senior vice president of finance and capital markets at Invenergy. “This transaction, in addition to the recent Maverick and Sundance financial closings, is a testament to Invenergy’s strong lender relationships and financing capabilities as well as the compelling value of wind investments.”
Invenergy Services, a subsidiary of Invenergy, will provide operations and maintenance, balance of plant, energy management and asset management services under a 10-year agreement, adding to the 10 GW global sustainable energy project portfolio it manages.
The three projects represent a combined $2 billion capital investment in north-central Oklahoma, directly investing in the local economy through new tax revenues and lease payments to participating landowners.
Photo: Meghan Schultz