US

CPV completes financing for Cimarron wind energy project in Kansas

CPV Renewable Energy Co., a subsidiary of Maryland-based Competitive Power Ventures Inc., LLC, has closed financing for the construction of its 165.6-megawatts Cimarron wind energy project in Gray County, Kansas, made up of 72 2.3-MW Siemens wind turbines.

The Cimarron project has around $262.8 million of senior credit facilities from Coordinating Lead Arrangers Bank of Tokyo Mitsubishi UFJ and Union Bank of California as well as Mandated Lead Arrangers Helaba, Siemens Financial Services and Lloyds.

The company has entered into a 20-year power purchase agreement with the Tennessee Valley Authority, as part of the latter's 2009 Request for Proposals for renewable generation. The Cimarron wind project has been initially approved in 2010.

CPV commenced with the construction of the wind farm last month and expects the farm to achieve commercial operation by November of this year.

"CPV is pleased to once again bring clean renewable wind powered generation to southwest Kansas. The Cimarron project adds to CPV's growing asset base and will provide low cost, reliable wind generation to the Tennessee Valley Authority for years to come," said CPV R.E.C. senior vice-president Sean Finnerty.

For his part, CPV chairman and chief executive Doug Egan said: ""CPV's portfolio of over 1,100 MW of clean, reliable generation in construction or operation shows the value of a diversified approach to power generation."

Last year, CPV's 800-MW gas-fired Sentinel Energy Center, which supported wind energy generation in Southern California, was awarded by Project Finance International as the "Power Deal of the Year" in North America.

CPV also commissioned its Keenan II wind farm in Oklahoma last December. – Jhoanna Frances S. Valdez