Durham-headquartered Banks Renewables, the renewable energy division of property and energy business Banks Group, said it secured a £210 million investment package to support the construction of its next three onshore wind farms.
Banks Renewables said it worked with lenders Macquarie Infrastructure Debt Investment Solutions (MIDIS), Santander, ING, National Australia Bank and Rabobank to secure funding for its planned Moor House wind farm near Darlington and for the Middle Muir and Kype Muir schemes in South Lanarkshire.
The three wind farms were successful in the UK government’s first competitive Contracts for Difference (CfD) programme for onshore and offshore projects in 2015.
Manufacturer Senvion has been contracted to supply and install the turbines for all three projects, with Kype Muir, Middle Muir and Moor House each comprising 26, 15 and six turbines respectively.
A long-term power purchase agreement (PPA) has been signed between Banks Renewables and Dong Energy for the output of all three wind farms.
“Balance of Plant” contracts have been agreed with Scottish civil engineering contractor R J McLeod for the Kype Muir and Middle Muir construction works, and with County Durham-based Hall Construction for Moor House.
KPMG and law firms Ashurst and Brodies advised Banks Renewables on the deal, while the lenders were advised by Norton Rose Fulbright and Burness Paull.
Banks Renewables manging director Richard Dunkley said: “This investment package is a real expression of confidence in both Banks Renewables and the wider UK onshore wind sector, and it’s exciting to now be accelerating the process of taking these three wind farms forward.”