- US$100 million (CAN$142 million)
non-recourse bridge loan for the Hale Kuawehi solar and battery
storage project in Hawaii
- The construction phase is completed, and Hale Kuawehi is now
advancing toward the final commissioning and testing stages
- Upon its commissioning, the project will benefit from a 25-year
power purchase agreement with the Hawaii Electric Light
Company
- The proceeds will be used mainly to repay the corporate
revolving credit facility, effectively reducing corporate
leverage
LONGUEUIL,
QC, Dec. 16, 2024 /CNW/ - Innergex Renewable
Energy Inc. (TSX: INE) ("Innergex" or the "Corporation") has closed
a US$100 million (CAN$142
million) non-recourse bridge loan with First Citizens Bank to
support the Hale Kuawehi project through its final stages and repay
the corporate revolving credit facility, effectively reducing
corporate leverage.
"This financing initiative reinforces Innergex's
commitment to maintaining a strong balance sheet, positioning us
for continued financial flexibility and growth as we expand our
presence in our key markets," said Michel
Letellier, President and Chief Executive Officer of
Innergex. "Our Hale Kuawehi solar and battery storage project is
nearing completion. With the construction phase now fully
completed, we are focused on advancing the project toward full
commissioning."
Hale Kuawehi's substation and interconnection
points have been successfully energized earlier this month, marking
a critical milestone for the advancement of the project. With the
construction phase now fully completed and the project officially
connected to the grid, the focus shifts to commissioning the
installation (solar panels, inverters, and storage systems),
bringing the project to full operational status in Q1 2025.
Upon its commissioning, the project's revenues
will be secured through a 25-year power purchase agreement with
Hawaii Electric Light Company. In addition, the project is eligible
to receive a federal Investment Tax Credit (ITC) sized to
approximately 30% of the project's eligible costs.
The construction bridge loan is expected to be
repaid with the proceeds from a future long-term non-recourse
financing after the facility reaches commercial operation.
About Innergex Renewable Energy Inc.
For over 30 years, Innergex has believed in a
world where abundant renewable energy promotes healthier
communities and creates shared prosperity. As an independent
renewable power producer which develops, acquires, owns and
operates hydroelectric facilities, wind farms, solar farms and
energy storage facilities, Innergex is convinced that generating
power from renewable sources will lead the way to a better world.
Innergex conducts operations in Canada, the United
States, France and
Chile and manages a large
portfolio of high-quality assets currently consisting of interests
in 89 operating facilities with an aggregate net installed capacity
of 3,377 MW (gross 4,332 MW), including 42 hydroelectric
facilities, 35 wind facilities, 9 solar facilities and 3 battery
energy storage facilities. Innergex also holds interests in 14
projects under development with a net installed capacity of 991 MW
(gross 1,334 MW), 2 of which are under construction, as well as
prospective projects at different stages of development with an
aggregate gross installed capacity totaling 9,807 MW. Its approach
to building shareholder value is to generate sustainable cash flows
and provide an attractive risk-adjusted return on invested capital.
To learn more, visit innergex.com or connect with us
on LinkedIn.
Cautionary Statement Regarding Forward-Looking
Information
To inform readers of the Corporation's future
prospects, this press release contains forward-looking information
within the meaning of applicable securities laws ("Forward-Looking
Information"), including the Corporation's growth targets, power
production, prospective projects, successful development,
construction and financing (including tax equity funding) of the
projects under construction and the advanced-stage prospective
projects, sources and impact of funding, execution of non-recourse
project-level financing (including the timing and amount thereof),
and strategic, operational and financial benefits and accretion
expected to result from such acquisitions, business strategy,
future development and growth prospects, business integration,
governance, business outlook, objectives, plans and strategic
priorities, and other statements that are not historical facts.
Forward-Looking Information can generally be identified by the use
of words such as "approximately", "may", "will", "could",
"believes", "expects", "intends", "should", "would", "plans",
"potential", "project", "anticipates", "estimates", "scheduled" or
"forecasts", or other comparable terms that state that certain
events will or will not occur. It represents the projections and
expectations of the Corporation relating to future events or
results as of the date of this press release.
Forward-Looking Information includes
future-oriented financial information or financial outlook within
the meaning of securities laws, including information regarding the
Corporation's targeted production, the estimated targeted revenues
and production tax credits, targeted Revenues and Production Tax
Credits Proportionate, the estimated project size, costs and
schedule, including obtainment of permits, start of construction,
work conducted and start of commercial operation for Development
Projects and Prospective Projects, the Corporation's intent to
submit projects under Requests for Proposals, the qualification of
U.S. projects for PTCs and ITCs and other statements that are not
historical facts. Such information is intended to inform readers of
the potential financial impact of expected results, of the expected
commissioning of Development Projects, of the potential financial
impact of completed and future acquisitions and of the
Corporation's ability to pay a dividend and to fund its growth.
Such information may not be appropriate for other purposes.
Forward-Looking Information is based on certain
key assumptions made by the Corporation, including, without
restriction, those concerning hydrology, wind regimes and solar
irradiance; performance of operating facilities, acquisitions and
commissioned projects; availability of capital resources and timely
performance by third parties of contractual obligations; favourable
economic and financial market conditions; average merchant spot
prices consistent with external price curves and internal
forecasts; no material changes in the assumed U.S. dollar to
Canadian dollar; no significant variability in interest rates; the
Corporation's success in developing and constructing new
facilities; no adverse political and regulatory intervention;
successful renewal of PPAs; sufficient human resources to deliver
service and execute the capital plan; no significant event
occurring outside the ordinary course of business such as a natural
disaster, pandemic or other calamity; continued maintenance of
information technology infrastructure and no material breach of
cybersecurity.
For more information on the risks and
uncertainties that may cause actual results or performance to be
materially different from those expressed, implied or presented by
the forward-looking information or on the principal assumptions
used to derive this information, please refer to the
"Forward-Looking Information" section of the Management's
Discussion and Analysis for the three months ended September 30, 2024.
SOURCE Innergex Renewable Energy Inc.