Co-developers CPV, GE Energy Financial Services, and OGUSA have arranged US$700 million of senior debt financing for the Fairview Energy Center project, a new natural gas and ethane electric generation facility located in western Pennsylvania.
The CPV Fairview Energy Project, a combined cycle facility that is expected to generate 1050 MW of energy, will be located on a 30-acre site in Johnstown, PA, part of Jackson Township in Cambria County. GE will provide two 7HA gas turbines and an engineered equipment package to power the project.
Gary Lambert, president and CEO of CPV, said:
“We use GE’s cutting-edge technologies to provide the most environmentally responsible, highest performing and best economic solutions for our generating facilities. The high efficiency of their turbines as well as the company’s strong technical and operational support is why we continue to purchase their turbines, and CPV Fairview Energy Center is the most recent example.”
The project will draw on US$700 million in financing with multiple layers – including a variable rate tranche initially led by BNP Paribas, Credit Agricole, CIT Bank, Industrial and Commercial Bank of China Ltd., National Australia Bank, MUFG, Commonwealth Bank of Australia, and DNB Markets, Inc., a fixed rate bank tranche led by Industrial Bank of Korea, and a fixed rate note tranche placed in the institutional market. A letter of credit facility and working capital facility was also part of the variable rate financing.
Milbank, Tweed, Hadley & McCloy LLP has acted as financial advisor for the group of lenders.