D. E. Shaw acquired 300 MW »Arroyo« project
Post date: 21/09/2021 - 12:34
D. E. Shaw Renewable Investments, L.L.C. (DESRI) closed the acquisition of and debt financing for the »Arroyo« solar and storage project. »Arroyo« is a 300 MW (ac) solar and 150 MW (ac)/600 MWh battery energy storage system facility that is being developed in McKinley County, New Mexico. The first phase of the project is expected to commence operations in June 2022, with full commercial operation anticipated for fall 2022.
Sundt Construction Inc. will construct the solar facility, which will use Nextracker trackers. ECI of Billings, MT is providing the design for the substation and switchyard that will be built by its subsidiary, EPC Services Company. Tesla will supply and commission Megapacks for the facility, and New Mexico-based Affordable Solar Installation, Inc. will construct the battery energy storage system (BESS). In addition, SOLV, Inc. and Tesla will provide ongoing operations and maintenance services to the facility once operational.
Arroyo is DESRI's first solar project with co-located battery storage to enter construction and financing, and once operational, will be one of the largest solar and battery projects in the U.S. DESRI acquired the project from the original developer, Centaurus Renewable Energy. Arroyo has two offtake contracts with Public Service Company of New Mexico (PNM) for the solar and storage output respectively.
Financing for the acquisition and construction of the project was led by Nord/LB and included four additional joint lead arrangers: MUFG Union Bank, N.A., Sumitomo Mitsui Banking Corporation (SMBC), National Bank of Canada (NBC), and Societe Generale.