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CIP II invests $81m in Texas wind farm

Bearkat I in Glasscock County, one of two Texas wind farms acquired by Copenhagen Infrastructure Partners last summer, is expected to be operational by the end of 2017.

Copenhagen Infrastructure Partners will invest $81 million in the construction of an onshore wind farm in Texas, with the equity coming from the firm’s Copenhagen Infrastructure II fund.

Bearkat I, which CIP acquired in July 2016, will consist of 57 turbines and have a total capacity of 197MW. The wind farm is expected to begin commercial operations in the fourth quarter of 2017, the Danish fund manager said, with tax equity investors providing the remaining $190 million of the project’s total costs.

CIP senior partner Christian Skakkebæk called the investment “an attractive opportunity adding further diversification to the existing portfolio of our fund”, adding that it represented the group’s first equity investment in US onshore wind.

Bearkat was one of two Texas wind farm projects purchased by Copenhagen last July, along with the Blue Cloud Renewable Energy Project located in the Bailey and Lamb counties. Both projects are being developed with Dallas-based TriGlobal Energy and are expected to qualify for production tax credits, CIP said.

The CIP II fund closed at $2 billion in July 2015 after hitting its hard-cap. The vehicle has also invested in the Veja Mate wind farm in Germany’s North Sea and the Beatrice wind farm in the Outer Moray Firth in Scotland.

Copenhagen launched its third energy fund this year and has already raised $1.3 billion.