Israeli solar and wind developer Enlight Renewable Energy said Monday it has secured financing for the development of a new 312 megawatt (MW) wind farm in Spain.
The undisclosed financing will be provided by Spanish banks Banco de Sabadell and Bankia, Kallanish Energy learns.
The Gecama wind farm, located in Castilla La-Mancha, Spain, is the country’s largest onshore wind farm to-date and is expected to begin commercial operations in 2022. The project is should provide clean energy to over 260,000 homes in Spain and prevent 150,000 tonnes of CO2 emissions per year.
The project’s senior debt, which accounts for 50% the estimated at €320 ($354.4) million total cost, takes the form of a non-recourse loan. It will be repayable over the first 14 years following the commercial operation date.
Enlight owns a 72% share in the Gecama project company, alongside partners Phoenix and Menora Mivtachim, and will provide $112 million of the project financing. The agreement will also allow the project company to sell electricity generated by the Gecama wind farm on a full merchant basis.
German manufacturer Nordex will supply and install the farm’s wind turbines, with a 20-year full-service contract also in place. Construction will be done by Elecnor.
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