LONGUEUIL, Que.—Innergex Renewable Energy, Inc., has acquired its first wind project in British Columbia, entering into a $22-million purchase agreement for the Wildmare project in northeastern B.C.
The Quebec-based company will buy the 77-megawatt project near Chetwynd, B.C., from Finavera Wind Energy, it was announced.
According to Innergex, power produced at Wildmare will be sold to BC Hydro under a 25-year power purchase agreement.
Wildmare is expected to have an annual energy output of 238,200-megawatt hours, enough to power almost 24,000 BC households.
The company announced expected revenues of approximately $28-million in its first full year of operation.
Currently in the permitting phase, Innergex said the project should reach commercial operation in 2015, with construction lasting approximately 15 months.
The total cost of the project, including the consideration paid to acquire it, is estimated to be $217-million, approximately two-thirds of which will be financed with project-level debt and the balance financed with equity.
Other than an initial advance of $1-million, there will be no disbursement prior to closing, according to the company, and payments will be spread over several months.
The transaction is expected to close within 60 days.