Pattern Energy (PEGI) Begins Operations at 200-MW Logan’s Gap Wind Facility
Pattern Energy (NASDAQ: PEGI) announced that its 200 megawatt (MW) Logan’s Gap Wind facility in Comanche County, Texas, has completed construction and is fully operational.
Project Highlights
The 200 MW project has completed construction and is fully operational
Long-term power purchase agreement with Walmart
Portfolio now comprises 15 operating wind facilities and one construction project
“Logan’s Gap Wind is our fourth operational wind power facility in Texas and we are now serving three different regions throughout the state,” said Mike Garland, CEO of Pattern Energy. “We continue to bring new facilities online both on time and on budget, demonstrating our ability to execute on our growth strategy. We are pleased to be working with one of the leading corporations in the world as it acquires renewable energy and lowers its carbon footprint. We are increasingly partnering with America’s leading companies as they recognize that wind power, which continues to decline in cost, is both good for the environment and good for business.”
“Walmart has a goal to be supplied by 100 percent renewable energy, and sourcing from wind energy projects — like the Logan’s Gap Wind Facility — is a core component in the mix,” said Mark Vanderhelm, vice president of energy for Walmart. “The energy we’ll procure from this facility represents nearly one-fifth of the U.S. portion of our goal to source seven billion kilowatt hours of renewable energy by 2020. That’s a significant leap forward on our renewable energy journey.”
Pattern Energy has an owned interest of 164 MW in the facility and four institutional tax equity investors have acquired the balance. The facility is financed with all equity rather than project debt.
The facility will sell 75% of the electricity produced to Walmart and a financial institution. Walmart has a 10-year power purchase agreement to acquire 58% of the expected output from the facility. Seventeen percent of the expected output will be sold under a 13-year fixed price agreement with a A-/Baa2-rated financial institution. The remaining 25% of expected output will be sold at ERCOT spot market prices.
