Terra-Gen closes financing for Lockhart III & IV solar project in US

Core Insights - Terra-Gen has secured $383.3 million in project financing for the Lockhart III & IV solar development in California, which includes a tax equity bridge loan, a construction and term loan, and unfunded facilities [1][2][4] Financing Details - The financing package consists of a $236.1 million tax equity bridge loan, a $107.5 million construction and term loan, and $39.7 million in unfunded facilities [1] - A consortium of four banks, including Crédit Agricole Corporate and Investment Bank, NORD/LB, ING, and US Bank, will provide the funding [2] Project Specifications - The Lockhart III & IV project aims to deliver 205 MW AC of clean energy to the local grid, sufficient to power approximately 94,000 households annually [2][3] - Construction commenced in early 2025, with commercial operations expected to start in 2026 [3] Project Management - Cupertino Electric is responsible for engineering, procurement, and construction (EPC), while EPC Services is tasked with building high-voltage facilities, and First Solar will supply the solar modules [3] Strategic Importance - The facility will connect to the grid via an existing transmission line to the Kramer Junction substation, marking a significant milestone for Terra-Gen in the renewable energy sector [4] - The Lockhart complex also includes previous projects such as Lockhart I (85 MW), Lockhart II (75 MW), and a standalone battery storage project [5] Company Overview - Terra-Gen's gross operating portfolio includes 3.9 GW of solar, wind, and battery storage projects, with 5.1 GWh of energy storage capacity across 30 renewable energy sites, primarily in Texas and California [6] - The company is jointly owned by Igneo Infrastructure Partners and Masdar from the United Arab Emirates [6]