On Dec. 8, the Federal Energy Regulatory Commission approved an Oct. 17 application from Lindahl Wind Project LLC for authorization for the acquisition by Special Situations Investing Group II LLC or another affiliate of the Goldman Sachs Group Inc. of non-controlling, passive equity interests in Lindahl Wind.
FERC noted in the Dec. 8 order: “Applicant states that the Proposed Transaction may not require Commission approval under section 203(a)(1); however, out of an abundance of caution, it nevertheless asks the Commission to authorize the Proposed Transaction. This order authorizes the Proposed Transaction without making any determination of jurisdiction.”
Lindahl Wind owns a 150-MW wind project under development in Williams County, North Dakota. The project is interconnected with the Western Area Power Administration within the Southwest Power Pool (SPP) market. It has applied to the commission for market-based rate authority and has self-certified as an exempt wholesale generator. Lindahl Wind is committed to sell the full output of the Lindahl Project under a 25-year power purchase agreement with Basin Electric Power Cooperative.
Enel Wind Holdings LLC is the sole member of Lindahl Wind. Enel Wind Holdings is a wholly owned subsidiary of Enel Kansas LLC, which is a wholly owned subsidiary of Enel NA. Enel NA is a wholly owned subsidiary of Enel S.p.A., a joint-stock company formed under the laws of Italy.
This new, “Class B Investor” is a wholly-owned, indirect subsidiary of The Goldman Sachs Group Inc. (GS Group). GS Group is affiliated with certain entities that own or control electric generation facilities in the United States. Within the SPP market, GS Group is affiliated with Anderson Wind I LLC (Wind I) and Anderson Wind II LLC (Wind II), each of which owns a wind-powered facility located in New Mexico. Wind I owns a 5-MW qualifying facility (QF) and Wind II owns a 10-MW QF. The entire output of Wind I and Wind II is fully committed to Western Farmers Electric Cooperative pursuant to long-term power purchase agreements.
Under an Equity Capital Contribution Agreement, the Class B Investor will make capital contributions to Lindahl in exchange for 100% of the non-controlling, passive Class B Membership Interests in Lindahl. Enel will retain the Class A interests and operational control of Lindahl Wind.
Lindahl Wind has told FERC it expects the project to begin testing in late fall 2016 and to enter commercial operation in late December 2016.