Boralex Inc. announced that its subsidiary Boralex Europe S.A. has closed on long-term financing for the 26 MW portion of the La Vallée wind project.
The financing is being underwritten by a French banking consortium composed of OSEO, Crédit Coopératif and Crédit Mutuel ARKEA. The final amount is €33 million ($43M), or about 77% of the total investment. Financing for remaining 6 MW will be completed within a few weeks when certain standard closing conditions are satisfied.
The borrowed amount will be amortized over a 15-year period at a rate of approximately 4.5% for the full duration of the loan.
The La Vallée wind site has an installed capacity of 32 MW and the electricity generated will be sold to Électricité de France under a long-term, 15-year contract. Construction has been underway since December 2012 and commisionning is scheduled for late 2013.