Ch Shirley Wind will acquire a 90% controlling interest in the project which carries a 20-year power purchase agreement contract with Wisconsin Public Service for the electric output of its eight wind turbines.
Steven Lant, chairman, president and CEO of Ch Energy, said: “We have been giving careful re-consideration to the investments of our unregulated subsidiary CHEC, seeking out opportunities that exhibit the type of stable and predictable earnings and cash flow that support both a strong dividend and share price appreciation over time. These are the things that matter most to our shareholders.”
The company said that the construction on Shirley Wind will begin in 2010 and is expected to be completed in the fourth quarter. The eight wind turbines, which will be supplied by Nordex USA, are projected to generate nearly 64 million kilowatt hours of electricity per year, enough power to supply energy to approximately 8,000 homes.
The project could also displace an estimated 55,000 metric tons of CO2 emissions per year, if it replaces electricity produced by fossil fuels.
CHEC also holds approximately $5m in minority investments in two other wind farms, one a 24MW project in Bear Creek, Penn., and the second, a 7.5MW facility located in Atlantic City, New Jersey.
