Sunraycer Renewables LLC, a developer, owner, and operator of clean energy sites, announced it closed a $475 million project financing facility for two solar-plus-storage projects in Texas.
The facility is divided between a construction-to-term loan and a tax credit bridge loan, a financial structure that has recently become available as a result of the ITC transferability provisions in the Inflation Reduction Act. It includes a letter of credit facility, as well.
Financing was closed with MUFG Bank Ltd., Nomura Securities International, Inc., and Norddeutsche Landesbank Girzonentrale. The deal brings the total capital raised by Sunraycer to $675 million over the last six months.
The facility will support the construction and operations of two Sunraycer projects in Texas. The first, Gaia, is a 143 MWac solar + 75 MWac battery storage project located in Navarro County. The second, Midpoint, is a 97.5 MWac solar + 50 MWac battery storage project, located in Hill County. Construction on Midpoint began late last year.
Combined, the projects total 241 MWac of solar and 125 MWac of paired battery energy storage systems. Both projects are on target to begin commercial operations later this year. Gaia and Midpoint will be crucial in supporting the increased demand for energy from manufacturing and data centers in the Lone Star State, particularly within the ERCOT grid.
ERCOT manages the flow of power to over 26 million Texans and operates the state’s independent electricity market.
“This transaction reflects the next step in Sunraycer’s growth toward becoming a leading IPP in the United States. We are pleased to be working with MUFG, Nomura and Nord/LB, some of the most active project finance lenders in the renewable energy space. The financing further strengthens Sunraycer’s commitment to advancing clean energy initiatives across the U.S,” said Sunraycer CEO David Lillefloren, in a statement.
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