"Located in one of the United States’ most robust wind resources areas, these wind farms will grow and diversify our presence in the United States. This acquisition represents Boralex's entry into the ERCOT (Electric Reliability Council of Texas) and SPP (Southwest Power Pool) markets,” said Patrick Decostre, President and Chief Executive Officer of Boralex. “This acquisition highlights the strategic, creative, and persistent approach to acquisitions our reputation is built upon. I am extremely proud of the Boralex team who worked together to make this a reality.”
“Considering EDF Renewables’ extensive development capabilities throughout North America, divestures provide an opportunity to rebalance our portfolio of owned assets," said Luis Silva, Chief Financial Officer, EDF Renewables. “We are grateful to have worked constructively with the local stakeholders in Texas and New Mexico over the last decade and are pleased to partner with Boralex on this transfer of ownership.”
Boralex has a history of optimizing the life cycle of its sites, as such these wind farms will benefit from years of experience in operation, maintenance, and repowering. Furthermore, this acquisition perfectly pairs with Boralex's organic development activities in the United States. In recognition of its expertise, Boralex will become the managing member of the partnership.
Commissioned between 2014 and 2016, EDF Renewables developed and built all five wind farms utilizing Tier 1 turbine manufacturers. The acquisition will balance Boralex’s current United States mix of solar and hydro power generation capacity.
Three of the wind farms have long-term PPAs that are well structured with well-established off-takers. The PPAs do not contain fixed shape hedges that have caused recent difficulties in these markets. The other two wind farms are in strong and stable merchant markets, and with current condition of inflation, some merchant exposure will be complementary to the PPAs.
Description of the Assets
Spinning Spur 3