Greenbacker Renewable Energy Co. LLC announced Dec. 8 that through a wholly-owned subsidiary it acquired a 10-MW operating wind facility located in Montana, the Fairfield Wind Farm.
The facility is being sold by Fairfield Wind LLC, which is majority owned and managed by Foundation Windpower LLC, a wind developer based in San Francisco, Calif. The total consideration for the project will be approximately $6,615,000 in cash and the assumption of approximately $12,412,000 in debt for a total of $19,027,000.
The wind farm uses four 1.7-MW and two 1.6-MW wind turbines. It is located in Teton County, Montana, and sells power directly to NorthWestern Energy. It has a 20-year fixed-rate power purchase agreement (PPA), with pricing based on an off peak/on peak rate schedule with no escalation for the contract period. It also has a contract to sell Renewable Energy Credits (REC’s) to NorthWestern Energy with an annual escalation of 2.5% up to a maximum of $9.99/REC.
“We are extremely pleased to be purchasing our first wind asset from Foundation Windpower,” stated Charles Wheeler, CEO of Greenbacker. “As we continue to grow our portfolio of alternative energy assets, wind assets such as the Project provides a diversified revenue stream to our seasonal solar generation income, providing more predictable returns for our investors.”
Greenbacker Renewable is a publicly registered, non-traded company that expects to acquire a diversified portfolio of income-producing renewable energy power plants, energy efficiency projects and other sustainable investments.