Clean energy developer Masdar has announced its second strategic investment in the United States (US) in a deal with EDF Renewables North America that will see it acquire a 50% stake in a 1.6GW clean-energy portfolio.
Under the terms of the agreement, Masdar has acquired a 50% interest in three utility-scale wind farms in Nebraska and Texas totalling 815MW, and five photovoltaic (PV) solar projects in California – two of which include battery energy storage systems – totalling 689MW of solar and 75MW of lithium-ion battery energy storage.
The 243MW Coyote wind project is located in Scurry County, Texas; the 273MW Las Majadas wind project is in Willacy County, Texas; and the 300MW Milligan 1 wind project is in Saline County, Nebraska. All three wind projects are currently under construction and expected to begin commercial operations in the fourth quarter of 2020.
In Riverside County, California, the Desert Harvest 1 and Desert Harvest 2 PV projects total 213MW of solar and 35MW / 140MWh of battery storage. Also in Riverside County are the 173MW Maverick 1 and 136MW Maverick 4 solar PV projects. These four projects are also under construction and slated for commercial operations in the fourth quarter of 2020.
The final project in the portfolio is Big Beau, a 166MW solar PV and 40MW/160 MWh battery energy storage project, which is in Kern County and will reach commercial operation in 2021.
All solar projects utilize horizontal single-axis tracking technology.
Power from the diversified portfolio projects will be sold under long-term contracts to a variety of off-takers, including utilities, hedge providers and community choice aggregators (CCAs).
In total, the eight projects have created more than 2,000 jobs in the country’s clean energy sector and will displace more than 3 million metric tons of carbon dioxide annually.
“As the second-largest renewable energy producer in the world in terms of installed power capacity, the US offers considerable scope for further growth and diversification of our renewable energy portfolio,” said Mohamed Jameel Al Ramahi, CEO of Masdar. “We are delighted to expand our presence there through this landmark deal to invest in eight clean energy assets in California, Nebraska and Texas, and to further strengthen our global partnership with EDF Renewables.”
Tristan Grimbert, president and CEO, EDF Renewables North America commented: “EDF’s collaboration with Masdar runs deep in the Middle East and North Africa already. This deal writes a new chapter of cooperation between our two companies focused on the North American market. I would like to highlight the exceptional quality of work for both the Masdar and EDF Renewables North America teams over the last year to execute this transaction in particularly troubled times.”
The transaction is expected to close in the fourth quarter of 2020 as it is subject to customary regulatory approvals.