Dallas, Texas, December 12, 2018 - Sammons Renewable Energy (SRE) today announced the acquisition of the 238 MW Rio Bravo wind project from Longroad Energy Holdings, LLC (Longroad). Rio Bravo is the second wind farm acquired by the company, bringing the wind portion of SRE’s portfolio to 400 MW. Franklin Park identified and assisted with the structuring and closing of the acquisition, and a subsidiary of Berkshire Hathaway Energy will provide tax equity financing to the project.
Located in Starr County, Texas, Rio Bravo includes 66 Vestas V136-3.6 MW turbines. The project is currently under construction and is expected to achieve commercial operation in the summer of 2019.
“The acquisition of Rio Bravo is another step towards achieving our long-term growth goals for SRE and towards securing our position as a presence in the North American renewables market,” said Heather Kreager, chief executive officer of Sammons Enterprises, Inc., the parent company of SRE. “We look forward to the completion of the construction phase of this project and to providing clean energy to the Texas market.”
“We are thrilled to have closed this transaction with Sammons Renewable Energy,” said Paul Gaynor, chief executive officer of Longroad. “We are proud of the work we did to make the Rio Bravo project a reality.”
“With the closing of this transaction, the SRE wind, solar and hydropower fleet now totals over 800 MW. This project expands our footprint in the ERCOT South region and should provide operational and financial synergies. We look forward to continuing to identify and acquire compelling renewable power projects in North America in order to continue growing the portfolio,” commented Tom Tribone, the chief executive officer of Franklin Park.
Once operational, Rio Bravo wind will produce enough electricity to power 76,000 US homes, and to reduce annual CO2 emissions equivalent to removing 126,000 cars from the road each year.
The transaction closed on December 11, 2018. Akin Gump Strauss Hauer & Feld provided legal advice, and Leidos provided engineering advice to SRE and Franklin Park. Longroad will provide construction management, asset management, and operations and maintenance services to the project. Franklin Park will manage the Rio Bravo project on behalf of SRE.
Financial details of the transaction were not disclosed.