Innergex obtains $322.7 million tax equity deal

Innergex Renewable Energy, a Canadian electricity producer, has received a $322.7 million tax equity investment for its 329.8 MW Boswell Springs wind project in the US state of Wyoming, which is now under development. Reportedly, JP Morgan, Capital One, and Innergex completed the upfront tax obligation. According to the agreement, the shareholders will make cash payments when the project generates production tax credits over a ten-year period.

Furthermore, the company has secured all of the required financial backing to complete this huge wind project by the end of 2024. Reportedly, construction is “well under way” at Boswell Springs, and the project is anticipated to be completed on time. It is anticipated that Boswell Springs will produce yearly operating cash flows of about $22 million. The project qualifies for 110 per cent of the production tax credits, which could result in an annual revenue increase of $42 million. The generated electricity from the wind farm will be given to PacifiCorp, a division of Berkshire Hathaway, under a 30-year busbar power purchase agreement. The anticipated date of commercial operation is the last quarter of 2024.

In July 2023, Innergex Renewable Energy received $534 million in construction financing from BNP Paribas, Credit-Agricole CIB, and Export Development Canada for the construction of a 329.8 MW Boswell Springs wind farm in Albany County, Wyoming. Mortenson was appointed as the wind farm’s engineering, procurement, and construction contractor, with AEI as the transmission line contractor.