Transactions
Selkirk advises Boralex and Innu partners on project financing for 200 MW wind project in Quebec
Selkirk Advisory Group Inc. (“Selkirk”) is pleased to announce closing of a $608 million long-term non-recourse project financing for the 200 MW Apuiat wind farm located on Quebec’s North Shore (the “Project”). The Project is owned 50% by Boralex Inc. and 50% by its Innu community partners and will sell all electric energy produced (enough to supply the equivalent of 40,000 homes in Québec) to Hydro-Québec under a 30-year power purchase agreement. Selkirk acted as financial advisor to the Project company – Parc éolien Apuiat S.E.C. – for purposes of the transaction.
The financing, which was completed with a syndicate of four Canadian and international financial institutions, is comprised of the following credit facilities: (1) $465 million construction-to-term loan with a 25-year term after the start of commercial operation of the Project, and (2) short-term facilities totalling $142 million, including a bridge loan and a letter of credit facility, for the purposes of financing certain costs incurred during construction that are reimbursable by Hydro-Québec and issuing various letters of credit.
“A flagship project for Boralex, Apuiat makes us proud for many reasons, among which is the equal partnership with Québec’s Innu communities that it involves,” said Éric Cantin, Vice President, Corporate Finance at Boralex. “We are pleased to have collaborated with Selkirk in setting up this innovative financing for a project that marks the revitalization of the wind power industry in Québec.”
“The Selkirk team is extremely grateful to Boralex and their Innu community partners for the opportunity to assist them with the financing for this important project” said Dan Doubilet, Managing Director of Selkirk. “It was a pleasure working with the Boralex team, as well as the lenders, consultants and lawyers, to bring this financing to a successful close. This is a landmark transaction for Selkirk’s financial advisory practice and we are greatly looking forward to continuing to build our relationship with Boralex and their partners.”
