Charlotte, N.C., March 27, 2012 — Sumitomo Corp. of America, part of Tokyo-based Sumitomo Corp., will become a 50-50 equity partner in two large-scale wind farms Duke Energy Renewables is building in Kansas.
SCOA is buying a 50 percent stake in the 131 MW Cimarron II Wind Power Project in Gray County and the 168 MW Ironwood Wind Power Project in Ford County.
Duke Energy Renewables, a commercial business unit of Duke Energy, and SCOA will complete construction of both wind farms later this year. Duke Energy Renewables will operate and maintain Cimarron II and Ironwood once they are in service, with SCOA actively involved in management of the projects.
The deal between Duke Energy Renewables and SCOA is expected to close in April. In addition, the companies are exploring opportunities to finance the cost of constructing and operating the Cimarron II and Ironwood wind projects.
Both projects have long-term contracts in place to sell the electricity they generate. Kansas City Power & Light will purchase all of the electricity and associated renewable energy credits produced by Cimarron II under the terms of a 20-year agreement. Westar Energy will buy all the power and RECs produced by the Ironwood wind farm through a 20-year agreement.