Recurrent Energy, a subsidiary of Canadian Solar, has closed $695 million in project financing and tax equity for its Cobalt Solar facility, a 330-megawatt (MW) solar project currently under construction in Riverside County, California.
The project is expected to reach commercial operation by the end of 2027.
The debt financing package totals approximately $484 million, co-led by MUFG and Nord/LB, and includes construction and term loans, a tax equity bridge loan, and a letter of credit facility.
Wells Fargo provided an additional $211 million in tax equity investment. Blattner Energy is serving as the engineering, procurement, and construction (EPC) contractor.
“We are thrilled to close the project financing and ramp up construction of Cobalt Solar,” said Dylan Marx, CEO of Recurrent Energy, in a statement. “This project represents a significant addition to the U.S. energy landscape and will contribute meaningfully to meeting the country’s growing electricity demand. We appreciate the continued support and collaboration of MUFG, Nord/LB, and Wells Fargo in bringing this initiative forward.”
Once operational, Cobalt Solar is expected to generate enough electricity to power approximately 82,000 homes annually and deliver approximately $14 million in property tax revenue to Riverside County over the life of the project.
Fred Zelaya, Managing Director at MUFG, added, “MUFG is pleased to support Recurrent Energy as they strive to meet the growing energy demands of the U.S. We value the opportunity to help Recurrent Energy augment large-scale renewable energy infrastructure and power capacity.”
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