NJR Clean Energy Ventures (NJRCEV), the unregulated distributed power subsidiary of New Jersey Resources, has acquired the 48 MW Alexander Wind Farm, its third onshore wind project.
Located on 7,000 acres of land in Rush County, Kan., NJRCEV will invest approximately $85 million to construct, own and operate the wind farm, which is expected to be in-service in fall 2015.
NJRCEV acquired the shovel-ready project from Brooklyn, N.Y.-based OwnEnergy, a developer of midsize and community wind projects. It is the third and largest wind farm project NJRCEV purchased from OwnEnergy. The first was the Montana-based Two Dot Wind Farm, placed in service in June 2014. NJRCEV expects to place the second project, the Carroll Area Wind Farm, located in Iowa, in service by spring of 2015.
The wind farm's output – as well as the renewable attributes – will be sold through power purchase agreements (PPAs) to two separate customers, notes NJRCEV. The Kansas City Board of Public Utilities has agreed to purchase 50% of the energy produced at the site over 20 years. The remaining energy will be purchased through a 15-year PPA by Yahoo, which expects to use the wind power to offset much of its energy usage in the Great Plains region.
NJRCEV says it expects the wind farm to qualify for the federal production tax credit.