Longroad Energy has confirmed sale of Texas wind farm
Infratil announces that Longroad Energy has sold its 238 MW Rio Bravo wind farm project in Starr County, Texas, USA to Sammons Renewable Energy.
A media release from Longroad Energy relating to this sale is attached.
Following completion of the sale, Infratil expects to receive repayment of approximately US$49.4 million of funding and accrued interest. Funding of US$46.3 million was provided in May 2018 to enable Longroad Energy to fund its equity commitment for the construction. Realisation of the development margin in relation to the project is expected to occur (in cash or accounting terms) in the FY20, when construction is completed.
Infratil remains within the FY19 earnings guidance updated provided on 13 November 2018 ($580 million to $620 million), however the forecast Rio Bravo development gain which was originally expected in FY19 is now expected in FY20.
Longroad Energy is owned by Infratil (40%) and the New Zealand Superannuation Fund (40%), in partnership with management (20%). Its focus is on wind and solar energy development, ownership, and services in the United States, one of the largest and fastest growing renewable energy markets in the world. The investment is managed on behalf of Infratil and the New Zealand Superannuation Fund by investment management firm Morrison & Co.
Any enquiries should be directed to:
Mark Flesher, Investor Relations, Infratil Limited firstname.lastname@example.org