Lightsource bp has successfully closed on a $380 million financing package and mobilized construction on its Elm Branch and Briar Creek solar projects in Texas, both located about 40 miles south of Dallas.
“This transaction is a demonstration of the low risk and stable yield opportunities that renewable energy projects offer to investors, the quality and bankability of our developed assets, and the confidence that top tier investors have in Lightsource bp,” said Kevin Smith, CEO of the Americas, Lightsource bp. “Despite challenges posed with COVID-19, Lightsource bp reached financial close on over $1.2 billion in transactions in the U.S. in 2020, a substantial increase from 2019.”
Power contracts secured with energy partners played a key role in supporting the investment and financing of this new clean energy infrastructure in Texas. A virtual power purchase agreement (VPPA) with L3Harris Technologies was made for up to 100 MW of capacity from Elm Branch; and a proxy generation power purchase agreement (pgPPA) was made with the Capital Solutions unit of Allianz Global Corporate & Specialty (AGCS) with respect to the electricity generated by Briar Creek.
Construction has started with commercial operation of both projects expected by late 2021. The Elm Branch project will be 163 MW and Briar Creek 153 MW, and will create approximately 500 local jobs during construction
Lightsource bp selected McCarthy Building Cos. as its EPC contractor for the project. The McCarthy team was selected for both its track record in successfully building large-scale solar projects and commitment to recruiting and hiring from the local workforce.
“We are honored to be part of the team that is bringing clean energy to these Texas communities,” said Scott Canada, executive vice president of McCarthy’s Renewable Energy & Storage team. “Around the country we are seeing the positive impact that solar energy can have on communities as they embrace clean energy solutions to attract large companies with renewable energy goals, and serve to provide career opportunities in the growing solar construction sector.
“Through our well-structured training program and rigorous design-phase planning we’re able to help those in the local workforce while also building some of the most efficient solar facilities that provide long-term reliable energy to their customers, which is why we do what we do,” he continued. “It’s very rewarding.”
News item from Lightsource bp