D. E. Shaw Renewable Investments (DESRI), a North American renewable energy producer, has closed on the Sigurd Solar project, securing both construction debt and tax equity financing. Sigurd Solar is an 80 MW solar facility located just outside the town of Sigurd in Sevier County, Utah.
The project commenced construction in late 2019, and is expected to both employ over 300 people and create significant tax revenue for Sevier County over the project life.
DESRI acquired the project early this year from an affiliate of Oakwood Construction Services, which DESRI has also retained to provide engineering, procurement and construction services. The project is expected to reach commercial operation in the first half of 2021, and will sell energy to PacifiCorp through a 25-year power purchase agreement and support Facebook’s operations in the area with new solar power.
“The COVID-19 crisis made this a particularly challenging environment to close an acquisition, financing, and tax equity investment,” says David Zwillinger, CEO of DESRI.
“We are grateful for the ongoing support of our partners at HSBC, Societe Generale, City National Bank and M&T, who worked tirelessly to close this transaction in spite of unprecedented headwinds. DESRI is pleased to start construction on its fourth utility-scale solar project in Utah and bring high-quality jobs to Sevier County,” he adds.
SOLV Inc. will provide ongoing operations and maintenance services to the facility.
A syndicate of lenders including HSBC, Societe Generale and City National Bank are providing construction and term loan financing, alongside a commitment for tax equity financing from M&T.
Photo: DESRI’s Investment Approach web page