Akeida Capital Provides Finance to Aspen Power for Biomass Plant Construction

Akeida Capital Management, LLC has secured financing of a waste wood-powered biomass electricity production facility with 57 MW capacity in Lufkin, Texas. Akeida Capital Management is an environmental asset management company that focuses on making investments in renewable energy infrastructure.

Aspen Power, LLC was offered with $14.1 million in junior loan by Akeida Capital Management for the purpose of completing construction of the facility that commenced in late 2008. Angelina Fuels, the sister company of Aspen Power, is likely to offer the facility with around 1,500 tons of biomass daily from municipal and sawmill cleanup activities as well as timber harvesting around Lufkin.

The Renewable Portfolio Standard (RPS) of Texas is one among the earliest standards implemented in the U.S. that necessitates municipal and investor-owned utilities to receive novel renewable energy capacity on the basis of energy sales’ market share. In 2005, the RPS of Texas was expanded to 10,000 MW capacity by the year 2020 with minimum of 500 MW capacity produced by non-wind resources.