Solar Frontier Americas (SFA), the U.S.-based renewable energy business of Idemitsu Kosan Co. Ltd., has closed on the tax equity commitment and debt financing for its 210 MW Mustang Two solar project in Kings County, Calif.
Lenders for the $176 million construction-to-term facility are KeyBank N.A. and Mizuho Bank Ltd. Morgan Stanley Renewables Inc. has committed to make up to $120 million in tax equity financing for Mustang Two. CohnReznick Capital served as financial advisor, and Stoel Rives served as Solar Frontier Americas’ counsel in the deal.
Located on a 1,400 acre site, the Mustang Two project is currently under construction and is slated to begin commercial operation in 2020. Once complete, the project will be owned and operated by Solar Frontier Americas.
“Obtaining financing from these top tier lenders and tax equity provider is yet another major milestone and accomplishment for Solar Frontier Americas’ IPP and development business. SFA and our parent company, Idemitsu, continue to expand our U.S. business with extraordinary partners dedicated to the growth of renewable power,” says Charles Pimentel, CEO of Solar Frontier Americas’ IPP business unit.
The 210 MW solar farm represents SFA’s largest project and financing to date. Recent projects include the acquisition of a 100 MW solar farm in Colorado and a 50.5 MW project in Stanislaus County, California.
Photo: Charles Pimentel