Duke Energy Renewables, a subsidiary of Duke Energy, is expanding its solar energy portfolio by acquiring the 200-MW Holstein solar project from 8minute Solar Energy. The project, located in Nolan County, Texas, will be the largest in Duke Energy Renewables’ fleet once complete.
Courtesy of Duke Energy
The Holstein solar project will be Duke Energy Renewables’ third solar generation facility in Texas.
The 200-MW project will contain over 709,000 solar panels across approximately 1,300 acres in Wingate, Texas. Construction has begun and is expected to be complete in the summer of 2020. The Holstein solar project will power the equivalent of an estimated 40,000 homes.
The project will employ up to 400 workers during peak construction.
Duke Energy Renewables acquired the project from 8minute Solar Energy, a leading developer of utility-scale solar projects. 8minute Solar Energy led the development of the project and brought the EPC, operation and maintenance, hedge, tax equity and debt counterparties to the project.
Much of the energy generated from the Holstein solar project will be sold through a 12-year term hedge agreement to J. Aron & Company LLC., a subsidiary of Goldman Sachs. This is the first Duke Energy Renewables solar project to utilize a hedge agreement.
SunTrust is providing a tax equity investment in the project. CIT Group and a consortium of banks are providing a construction loan, letter of credit and term loan facility for the project.
The facility’s design, procurement of inverters, balance of plant systems and construction of the project are being performed by Blattner Energy. First Solar will provide O&M services for the project for five years beginning when the project has reached substantial completion, which is estimated to be in the summer of 2020.
Duke Energy is on track to own or purchase 8,000 MW of wind, solar and biomass energy by 2020.