Enbridge invests $225M to boost wind power portfolio
Enbridge will invest $225 million for higher ownership stake in two Quebec wind-power generation projects
MONTREAL—Enbridge Inc. will buy additional ownership stakes in two Quebec wind projects from existing partner EDF EN Canada Inc.
Enbridge will invest approximately $225 million to acquire an additional 17.5 per cent stake in the 300 megawatt (MW) Lac Alfred Wind Project and an additional 30 per cent stake in the 150 MW Massif du Sud Wind Project. Both transactions are subject to customary closing conditions and are expected to be completed in mid-October.
Enbridge and EDF EN Canada became co-owners of the Lac Alfred project in December 2011 and expanded their partnership in December 2012 with the purchase of 50 per cent of Massif du Sud. On completion of the investment, Enbridge will hold 67.5 per cent interest in Lac Alfred Wind and 80.0 per cent interest in Massif du Sud.
EDF EN Canada will maintain a 20 per cent ownership position in both facilities. The remaining 12.5 per cent interest of the Lac Alfred Wind Project was acquired by the MRCs of La Matapédia and La Mitis in September 2014.
“Our increased interest in both facilities allows Enbridge to maintain its standing as the second largest wind energy owner in Canada, a position that reflects the strategic importance of renewable power generation for our company,” said Vern Yu, senior vice-president of corporate development. “We’ve invested approximately $3 billion in renewable energy assets over the past five years, and we plan to continue growing our renewable business with the objective of doubling capacity by 2017.”
Combined, both projects generate enough electricity to meet the needs of more than 100,000 Quebec homes. Electricity generated by the facilities is delivered to Hydro-Quebec Distribution under 20-year power purchase agreements.
EDF EN Canada will continue to provide management services to both projects and EDF Renewable Services will continue to provide long-term operations and maintenance services.