Enbridge Inc. (TSX:ENB) (NYSE:ENB) has entered into an agreement with Renewable Energy Systems Americas Inc. (RES Americas) for construction of the 110-megawatt (MW) Keechi Wind Project, located in Jack County, Texas, at a cost of approximately US$0.2 billion.
Construction for Keechi Wind commenced in December 2013 and the project is expected to reach commissioning in the first quarter of 2015. Upon attaining commercial operation, MetLife, Inc. will provide tax equity financing for the project.
The project will deliver electricity into the Electric Reliability Council of Texas, Inc. (ERCOT) market, under a 20-year Power Purchase Agreement (PPA) with Microsoft Corporation.
"As the nation's leader in wind energy - both in installed capacity and number of turbines - Texas represents a natural extension for Enbridge's growing U.S. renewable energy portfolio," said Don Thompson, Vice President, Green Power & Transmission, Enbridge Inc. "We're also pleased to continue building our relationship with RES Americas which has developed three other wind facilities for Enbridge."
"RES Americas looks forward to continuing our partnership with Enbridge Inc. Texas has shown its commitment to remain a leader in the renewable energy industry, and Keechi Wind, the 19th project we've constructed in the state, will help reduce carbon emissions, create jobs, and deliver economic benefits to the local community," said Brian Evans, Executive Vice President, RES Americas.
The Keechi Wind project comprises 55 Vestas V100-2.0 MW turbines and will be constructed by RES Americas under a fixed-price, engineering, procurement and construction agreement. A 12-mile generation tie-line will connect the project to Brazos Electric's Joplin substation.
Vestas will provide turbine operations and maintenance services for the first five years of the project after commercial operation date.
Keechi Wind brings the total generating capacity of the green power projects in which Enbridge has interests to more than 1,800 MW - enough to meet the energy needs of more than 590,000 homes. The project also contributes to Enbridge's "Neutral Footprint" commitment to generate a kilowatt of renewable energy for every additional kilowatt of conventional electricity that the company's liquids pipelines operations consume.