Terra-Gen LLC completed the first phase of financing for its Edwards Sanborn solar storage facility in Kern County, Calif.
The financing includes $804 million senior secured credit facilities comprising a $400 million construction and term loan facility, a $328 million tax equity bridge facility and a $76 million construction and revolving letter of credit facility, according to an Aug. 2 news release. J.P. Morgan is providing the tax equity commitment for the initial phase of the project, with Deutsche Bank leading the construction and term financing, the release said.
“This financing allows us to complete the ongoing construction of the first phase of the Edwards Sanborn Solar Storage facility and help California meet its carbon reduction goals through the deployment of large-scale renewable energy,” Terra-Gen CEO Jim Pagano said in a statement.
The first 735 MWh of battery storage is expected to come online in the third quarter, with the balance of the first phase expected to be fully operational by the second quarter of 2022. Subsequent near-term phases will be financed later this year and are expected to come online in the second half of 2022 and early 2023, the release said. When complete, the project’s near-term phases will comprise 760 MWac of solar and 2,445 MWh of energy storage.
In December 2020, Terra-Gen and construction company M. A. Mortenson Co. Inc. announced that they would break ground on the project in the first quarter of 2021. The project combines the Sanborn Solar Project and the Edwards Air Force Base Solar Project.
[Stephen Cedric Jumchai]