Finavera Wind Energy, GE Energy Financial Services Agree on Equity Investment in Wind Farm

GE Energy Financial Services, a division of GE, has given its consent on the suggestive terms of an equity venture in a 77 MW wind farm proposed to be constructed in Peace River Region, British Columbia by Finavera Wind Energy.

Finavera, previously known as Finavera Renewables and GE division are on the job to change the suggestive terms into a full-fledged accord. Under the accord, GE Energy Financial Services subject to satisfying the considerations of the accord would offer cash equity for the wind energy project. Finavera on its part would supply the non-cash equity, which includes the signed energy contract, permits received and work performed till date and will also function as managing partner. Implementation of the equity investment accord is subject to formal regulatory and corporate endorsements, closing of current applications, acceptable type of documentation and support from the board of directors of both the companies. Further financial details of the deal are anticipated to be available on completion of the final documentation. The debt financing required for the project will be arranged jointly by the two companies. They intend to hire an outside engineering company to supervise the construction of the wind project.

The Wildmare Wind Energy Project is placed in a favorable wind speed location and is in close proximity to transmission lines. The project projected to be completed with an investment of around $200 million has already signed a power purchase agreement with BC Hydro for a period of 25 years.