Boralex buys five 894 MW US wind farms from EDF

December 30 (Renewables Now). Canadian renewable energy company Boralex Inc (TSE:BLX) on Thursday announced it had completed its purchase of a 50% stake in 894 MW US wind farms from EDF Renewables North America.

The acquisition price, net of cash and certain production tax credits receivable, is C$339.7m ($250.7m/€234.9m).

The package includes the 200MW Hereford and Longhorn wind farms, the 194MW Spinning Spur parks in Texas, and the 50MW Milo and 250MW Roosevelt facilities in New Mexico. The plants were launched between 2014 and 2016.

Three wind farms operate on the basis of Power Purchase Agreements (PPAs) and do not have fixed hedging arrangements, while the power of the other two is sold on a fully commercial basis. Details are available in the table.

“These wind farms, located in one of the most wind resource-rich areas in the US, will grow and diversify our presence in the United States,” said Boralex President and CEO Patrick Decostre. He noted that the deal marks the entry of the Canadian firm into the market. to the Electricity Reliability Council of Texas (ERCOT) and Southwest Power Pool (SPP) markets.

Following the acquisition, which will be financed with cash, Boralex’s global installed capacity has increased to 2,956 MW. The Canadian firm expects the deal to add CAD39 million to its total earnings before interest, taxes, depreciation and amortization (EBITDA) in 2023 and boost discretionary cash flow immediately.

(1 Canadian dollar = 0.738 USD/0.692 EUR)

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