Arevon Energy has completed a $509m financing deal for the 430MWdc Kelso 1 & 2 Solar Projects located in Scott County, Missouri, the US.
The financial closure is part of Arevon’s broader strategy, which has seen the company secure over $3.7bn in project financing over the last 18 months.
The Kelso Solar projects represent Arevon’s first foray into Missouri’s utility-scale renewable energy market. These projects are anticipated to generate economic growth in Scott County by creating an estimated 450 construction jobs, which could lead to increased local spending. Additionally, the operational solar facilities are expected to provide more than $34m to local governments throughout their lifespan, potentially benefiting public services and infrastructure.
The financing for the Kelso 1 & 2 Solar Projects is comprised of three main components- a $245m bridge loan, a $172m construction loan, and $92m in credit support.
The Canadian Imperial Bank of Commerce (CIBC) served as the Administrative Agent, Left Lead Arranger, and Bookrunner for the transaction. A group of banks including CIBC, Commerzbank, Commonwealth Bank of Australia, Lloyds Bank, and National Bank of Canada participated as lenders, while BNY Mellon acted as the Collateral Agent.
Arevon chief investment officer Denise Tait said: “Kelso Solar’s financing is a testament to the close collaboration among all of our financing counterparties, for whom I am grateful for their confidence and trust in Arevon to deliver on our first-class projects.
“Arevon’s expanding presence as a top American independent power producer would not be possible without the support of our financial and commercial partners, and I am excited to continue to work together to build a better future through homegrown, responsible energy.”
In addition to the Missouri projects, Arevon is also undertaking the construction of four solar projects in Indiana, totaling 744MW, to expand its presence in the Midwestern region of the US.
The company’s current operations include more than 4,500MW of solar, energy storage, and distributed generation assets across 17 states. Arevon is in the process of constructing over 1,400MW of new solar and storage capacity and has a development portfolio that exceeds 6GW.
Last month, Arevon Energy completed financing on a $258m package for its 200MW/400MWh Peregrine Energy Storage Project in San Diego, California.
