ALLETE Clean Energy has secured tax equity funding to support its 80MW South Peak wind site in Montana.
The deal, which took place on 29 April, involved the sale of Class A passive membership interests in Great American West Wind to JPM Capital.
The South Peak wind site, which entered into commercial operations in mid-April 2020, is located near Great Falls.
Under a 15-year power sales agreement, power generated at the site is delivered to NorthWestern Energy.
Glen Ullin Energy Center of ALLETE Clean Energy went online in December last year
In January, the Great American West Wind tax equity transaction also generated funding for ALLETE Clean Energy’s Glen Ullin Energy Center wind site in North Dakota.
Located about 40 miles (79km) west of Bismarck, Glen Ullin Energy Center started commercial operations in December 2019.
ALLETE Clean Energy chief financial officer Laura Schauer said: “Investors continue to look favorably upon our growth strategy in the wind sector as demonstrated by this tax equity deal.
“High-quality projects like Glen Ullin and South Peak are successful in the tax equity market through a combination of relationships with respected counterparties, our development experience, use of the latest technology, and building trust with landowners in areas with first-rate wind resources.”
“We plan to follow this effective approach as we execute our strategy with future projects.”
ALLETE Clean Energy is a wholly owned subsidiary of ALLETE. The company acquires, develops and operates clean and renewable energy projects.
Currently, it owns and operates nearly 740MW of nameplate capacity wind energy generation in six states.
In March, the company acquired the 303MW Caddo wind project, located in Caddo County in southern Oklahoma, from Apex Clean Energy, for an undisclosed amount.
Expected to begin operations by the end of next year, the Caddo wind project will use a portion of Allete Clean Energy’s wind turbines qualifying for safe harbor provision of federal renewable energy production tax credits.
