GE Invests $117 Million in EDP Renewables' Oklahoma Wind Farms and Additional $111 Million in Established Wind Farm Portfolio
GE Energy Financial Services, a unit of GE (NYSE: GE), in partnership with Horizon Wind Energy LLC, ––owned by EDP Renewables (NYSE Euronext: EDPR) –– is investing $117 million in an Oklahoma windfarm.
Horizon Wind Energy's Blue Canyon V wind farm is a 99 MW expansion of a 225– megawatt wind farm near the small towns of Lawton and Elgin in Comanche County and Apache in Caddo County in southwest Oklahoma. In operation since last month, this project was built with GE 1.5–megawatt turbines and supplies its power to the Public Service Company of Oklahoma under a 20–year contract.
"Through this transaction, GE Energy Financial Services is putting millions of dollars to work in an attractive wind project in rural America with a developer we know and trust," said Kevin Walsh, Managing Director and leader of Power and Renewable Energy at GE Energy Financial Services. "We look forward to continuing to work with Horizon, which can redeploy its capital to execute on its growth strategy and make other investments in the US wind industry."
Horizon Wind Energy has estimated that this project can generate enough energy to power approximately 30,000 homes and avoid approximately 240,000 tons a year in greenhouse gas emissions—the equivalent of taking 30,000 cars off the road. This highly productive, utility–scale wind farm receives a production tax credit, an income tax credit for each kilowatt–hour of electricity produced.
"These equity investments help us in continuing our growth and efficiently realizing incentives provided by the United States government," said Gabriel Alonso, CEO of Horizon Wind Energy. "With partners like GE Energy Financial Services and its energy expertise and access to capital, EDP Renewables is targeting to invest over $4 billion in building new wind farms the next three years.
In addition to Blue Canyon, GE Energy Financial Services invested $111 million to join a previously closed transaction, Vento III, which consists of three wind farms, generating a total 604 megawatts: Rattlesnake Road (103 MW), in Oregon, west of Arlington in Gilliam County; Meridian Way (201 MW), in north central Kansas in Cloud County; and Pioneer Prairie (300 MW), in northeastern Iowa in Howard and Mitchell Counties.
GE Energy Financial Services and Horizon Wind Energy had also partnered in January 2008, when the GE unit invested $300 million in a 600 MW portfolio of Horizon Wind Energy's projects spanning four US states.
Wind makes up nearly 80 percent of GE Energy Financial Services' more than $4 billion renewable energy portfolio. The company plans to expand its renewable energy portfolio to $6 billion by the end of 2010, including investments in wind, solar, biomass, hydroelectric and geothermal power generation projects. This investment reinforces GE's ecomagination initiative, a program to help its customers meet their environmental challenges while expanding its own portfolio of cleaner energy products.
EDP Renewables, parent company to Horizon Wind Energy, recently announced that they have targeted to devote approximately $4 billion to building new wind farms in the United States through 2012. Such investment will help create thousands of jobs to develop, build and operate the new projects, as well as to manufacture the equipment that will be installed in such projects. The target will build on the record amount of new capacity the company has already installed and has under construction in 2009, totaling 800 megawatts (MW) worth more than $1.5 billion of investment.
GE (NYSE: GE) is a diversified global infrastructure, finance and media company that is built to meet essential world needs. From energy, water, transportation and health to access to money and information, GE serves customers in more than 100 countries and employs more than 300,000 people worldwide. For more information, visit the company's Web site at http://www.ge.com. GE is Imagination at Work.
About Horizon Wind Energy
With over 20 offices and more than 20 wind farms across the United States, Horizon Wind Energy has developed more than 3,400 MW and operates over 2,500 MW of wind farms. Horizon is owned by EDP Renováveis S.A. ("EDPR"), a global leader in the renewable energy sector that designs, develops, manages and operates power plants that generate electricity using renewable energy sources. With a sound development pipeline, first class assets and market–leading operating capacity, EDPR has undergone exceptional development in recent years. EDPR's installed capacity increased four–fold between 2005 and 2007, becoming the fourth largest wind energy producer in the world. EDPR is listed on the Euronext Lisbon Stock Exchange. Energias de Portugal, S.A. ("EDP"), the parent company of EDPR, is a vertically integrated utility company, headquartered in Lisbon, Portugal. Through its various constituent businesses, EDP holds significant electricity and gas operations in Europe, Brazil, and the United States.
For more information, visit www.horizonwind.com or www.edprenovaveis.com.
GE Energy Financial Services
+1 (203) 961–5773
Horizon Wind Energy
Editor's Note: Caption for accompanying photo: GE Energy Financial Services is investing $117 million in Blue Canyon V, an Oklahoma wind shown here that is owned and operated by Houston–based Horizon Wind Energy LLC, the third largest wind energy producer in the United States. Video of Blue Canyon wind farm: http://www.geenergyfinancialservices.com/video/Blue_Canyon_raw_footage.mp4