Boralex locks funding for 200-MW wind project in Quebec

Canadian renewable energy company Boralex Inc (TSE:BLX) on Friday said it has closed a CAD-608-million (USD 445.2m/EUR 416.1m) financing deal for the 200-MW Apuiat wind project in the province of Quebec.

Apuiat is a 50/50 partnership between Boralex and Innu community partners.

The long-term financing backing the scheme was provided by a banking consortium comprising Desjardins Group, CaixaBank, DZ Bank AG and The Korea Development Bank. The debt consists of a CAD-465.3-million construction loan that will be converted into a 25-year term loan once the plant is switched on, plus CAD 142.7 million in the form of a bridge loan and a letter of credit facility.

Desjardins acted as the sole bookrunner and lead arranger of the deal. According to the statement, a considerable portion of the long-term funding has a fixed interest rate.

The Canadian government earlier this year committed to providing CAD 3 million to support the project.

The Apuiat wind farm is planned to be installed on public land within the traditional territory of the Uashat mak Mani-utenam First Nation in Cote-Nord region. With building works slated to begin in this year’s winter season, the plant will become operational in the second half of 2024.

Utility Hydro-Quebec will buy the plant’s entire output under a 30-year power purchase agreement (PPA). The generation is expected to be enough to supply around 40,000 local homes a year.

(CAD 1.0 = USD 0.732/EUR 0.684)

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