Terra Firma-backed EverPower builds $122m wind farm

The wind developer received a $6m grant from Pennsylvania and $59m in debt financing to support the construction of a 75-megawatt wind farm in Southwestern Pennsylvania.

EverPower, a US wind energy developer owned by private equity firm Terra Firma, has secured $65 million to support the construction of a 75-megawatt wind farm in Southwestern Pennsylvania. The total cost of the project is estimated to be $122 million, according to an EverPower spokesperson.

Key Bank will provide about $59 million in financing for the Highland North wind farm in Cambria County, with the Pennsylvania Commonwealth Financing Agency contributing another $6 million from its Clean and Alternative Energy Grant programme, according to a statement.

The project will create enough capacity to power 30,000 households per year, according to the statement. A spokesperson said EverPower had not secured a power-purchase agreement, and was still “in negotiation” for contracts for the energy generated by the 75-megawatt farm.

The farm will also expand upon an existing 62.5-megawatt site in Cambria County, which was operational when Terra Firma acquired New York-based EverPower in a €220 million deal in 2009.

The “strategic rationale” behind the acquisition, financed from Terra Firma’s €5.4 billion fund III, was “to profit from the expected significant increase in demand for renewable energy in the US, at a time when regulatory change, a lower energy price environment and financing challenges were reducing the supply of new generating assets into the market”, according to Terra Firma’s website.

EverPower said last September that Terra Firma had committed an additional $200 million “in support of pipeline development” for the company. Terra Firma said when it acquired EverPower that the company had 800 megawatts of “near term” development opportunities.

A spokesperson for EverPower said the construction of the Highland North wind farm is expected to start in the spring and be completed by the end of the year.