FERC okays sale of interests in newly-operational Cimarron Bend Wind Project I

The Federal Energy Regulatory Commission on Dec. 15 approved an Oct. 17 application from Cimarron Bend Wind Project I LLC (CBI) and Cimarron Bend Assets LLC (CB Assets) for authorization for a transaction in which Cimarron Bend Wind Holdings I LLC (CB Holdings I) will dispose of and JPM Capital Corp. (JPMCC), BAL Investment & Advisory Inc. (BALIA) or an affiliate, MetLife Capital LP (MetLife Capital) and Wells Fargo Wind Holdings LLC (Wells Fargo) (collectively, the Class B Equity Investors) will acquire 100% of the non-controlling, passive equity interests in CB Holdings I and, indirectly, in the applicants.

FERC noted: “Applicants state that the Proposed Transaction may not require authorization under FPA section 203 (a)(1) but nevertheless seek prior authorization out of an abundance of caution. This order authorizes the Proposed Transaction without making any determination of jurisdiction.”

CBI owns a 200-MW wind project currently under development in Clark County, Kansas. The Cimarron Wind Project is located within the Sunflower Electric Power Corp. service territory within the Southwest Power Pool (SPP) market. It was expected to begin testing by late November 2016, and to be completed by December 2016.  CBI is an exempt wholesale generator (EWG) and has been authorized by the commission to sell energy, capacity, and ancillary services at market-based rates.  CBI has committed to sell the entire output of the Cimarron Wind Project under a 15 year power purchase agreement.

The project is owned by Enel Green Power North America.

CB Assets is an EWG that has its principal place of business in Andover, Massachusetts. CB Assets owns a generation tie line and certain other equipment currently under development that it will use solely to transmit power from the project substations associated with the Cimarron Wind Project and at least one, but not more than two other affiliated wind projects under development, for delivery to the point of interconnection with the integrated transmission grid.

CB Assets will deliver the Cimarron Wind Project’s output to the transmission system pursuant to a Shared Facilities Agreement among partiies including CBI, Cimarron Bend Wind Project II LLC and Cimarron Bend Wind Project III LLC .

About Barry Cassell 20414 Articles
Barry Cassell is Chief Analyst for GenerationHub covering coal and emission controls issues, projects and policy. He has covered the coal and power generation industry for more than 24 years, beginning in November 2011 at GenerationHub and prior to that as editor of SNL Energy’s Coal Report. He was formerly with Coal Outlook for 15 years as the publication’s editor and contributing writer, and prior to that he was editor of Coal & Synfuels Technology and associate editor of The Energy Report. He has a bachelor’s degree from Central Michigan University.