Exclusive: Financing for BP Wind Project Set to Close Next Week

by Terrence Murray - December 8, 2010

BP’s wind power unit expects to close the debt financing supporting the construction of a 250-megawatt wind farm in Colorado next week.

BP Wind Energy is expected to secure roughly $300 million in long-term debt financing supporting the construction of its Cedar Creek II wind farm in Colorado’s Weld county as early as next week, an industry source tells G.E.R.

As we previously reported banks participating in the club deal include Banco Santander, Societe Generale, Bank of Tokyo-Mitsubishi, BBVA, Lloyds TSB as well as Banco Sabadell and Mizuho Corporate Bank.

We have called BP’s press office and will post updates when we get them.

Pricing on the 25-year bank debt starts at 250 basis points over LIBOR, a source points out.

Cedar Creek II is backed by a 25-year power purchase agreement with Xcel Energy.

In 2008 BP and Babcock & Brown went live with the 300-megawatt Cedar Creek I wind farm.

Photo: Evan McKern, Flickr

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