November 19 (Renewables Now) - Japanese renewable power producer Renova Inc (TYO:9519) has achieved financial close for the 74.95-MW Omaezakikou biomass power project in Shizuoka prefecture.
The company said in a statement that it made a final investment decision for the project and then signed a financing agreement with certain financial institutions. Sumitomo Mitsui Trust Bank Ltd and Shinsei Bank Ltd are acting as lead arrangers, while Mitsubishi UFJ Lease & Finance Co Ltd serves as mezzanine lender.
Renova is developing the scheme alongside electric utility Chubu Electric Power Co Ltd (TYO:9502) with a 34% interest, Mitsubishi Electric Credit Corp with 18% and Suzuyo Shoji Co Ltd with 10%. Renova itself has the largest share at 38% and the right to buy the stake held by Mitsubishi Electric Credit after completion of the facility.
The plant will use wood pellets and palm kernel shells (PKS) as a fuel source. It is expected to have an annual power generation of about 530,000 MWh, enough to meet the annual consumption of approximately 170,000 households. Construction is scheduled to commence in April of 2021, with commissioning planned for July 2023.