Solar Star California XIII, LLC, a wholly-owned subsidiary of SunPower Corporation, has entered into an US$377 million credit facility for the development of the 135 MW Quinto solar energy project, located in Merced County, California.
The credit facility includes approximately US$318 million in construction loan commitments and approximately US$59 million in letter of credit commitments. It matures at the end of the seventh year following the term loan conversion.
SunPower Corporation has committed to invest approximately US$139 million of equity in the project company, Solar Star California XIII, LLC. The credit facility is secured by the assets of, and equity in, the project company, but is otherwise non-recourse to the company and its other affiliates.
On 29 July 2014, SunPower Corporation started construction on the solar project with a 20-year power purchase agreement (PPA) with Solar Southern California Edision (SCE) already in place.
After completion, which is scheduled for late 2015, the 135 MW Quinto solar energy project is expected to produce enough energy for 40,000 homes.