Wednesday, June 29, 2005
Published in Magazine:
Saturday, October 01, 2005
On June 29, 2005, Erie Shores Wind Farm Limited Partnership (Erie Shores) and its new owner, Clean Power Income Fund (Clean Power), completed the $186 million financing of the Erie Shores Wind Farm project (the project). When the project commences operations in the spring of 2006, it will be the largest wind power project in Southern Ontario consisting of 66 1.5 megawatt turbines.
The project was put together by AIM PowerGen Corp. (AIM), a prominent Canadian wind power developer, in response to the Ontario government's Request for Proposals for 300 megawatts of renewable energy in November of 2004. Clean Power completed its 100 per cent acquisition of the project from AIM contemporaneously with closing of the financing on June 29, 2005.
The financing for the project is comprised of a $120 million non-recourse project loan provided by Sun Life Assurance Company of Canada and the Great-West Life Assurance Company, a $56 million equity bridge loan under Clean Power's acquisition credit facility provided by the Bank of Nova Scotia and National Bank of Canada and a $10 million equity bridge loan from Sun Life.
GE Energy has been engaged by Erie Shores as both the turbine supplier and operator of the project. The balance of plant construction contract was awarded to a joint venture of AMEC and Black & McDonald Ltd. Erie Shores has also entered into a 20-year fixed price power purchase agreement with the Ontario Electricity Financial Corp.
Erie Shores and Clean Power were represented by McCarthy Tétrault LLP with a team comprised of Michael Weizman and David Lever (energy), Gordon Baird, James Archer, Justin Lapedus, Lynn Parsons and Ana Badour (finance), Bram Green (real estate), James Morand (tax) and Caroline Jageman (energy and regulatory).
Sun Life and Great-West Life were represented by Ogilvy Renault LLP with a team comprised of Nicholas Williams, Paola Cifelli, John Naccarato, Nicole Sigouin, Patrick Moran and Liliana Cutrone. Sun Life was also represented by in-house counsel Sam Steel, and Great-West Life was repres-ented by in-house counsel Bob Briercliffe.
The Bank of Nova Scotia and National Bank of Canada were represented by Borden Ladner Gervais LLP with a team comprised of Joanne Foot, Shane Pearlman,
Terence Lui, Marian Bournas and and Lisa Gidari (financial services), Paul McCarten and Andrew Collingwood (real estate) and William McLean (energy).
AIM was represented by Ogilvy Renault with a team comprised of Valerie Helbronner (energy and finance), Andrew Taylor (energy and regulatory), Richard King (energy and environmental), Norman Lieff and Andrew Pritchard (real estate) and Geoffrey Walker (tax).
The Ontario Electricity Financial Corp. was represented by Rocco Sebastiano of Osler, Hoskin & Harcourt LLP. AMEC was represented by in-house counsel Janice Wattis. Black & McDonald was represented by Geza Banfai of Blaney McMurtry LLP. General Electric was represented by in-house counsel Michael Barnas.