Canadian wind project secures $1bn in financing

A Canadian consortium that includes Boralex has put in place financing for the 400MW Des Neiges – Secteur sud wind power project in Quebec.

La Societe de projet BVH1, consisting of affiliates of each of Boralex, Energir Developpement and Hydro-Quebec, has in place $960m financing for the wind project, which is under construction on the private lands of Seigneurie de Beaupre.

This 57-turbine project has the potential to be a major boost to Cote-de-Beaupre’s economic development and to contribute to Quebec’s economic and climate resilience.

It represents an investment of around $1bn and is projected to employ a total of around 500 people during the construction phase, in addition to creating some 15 jobs during the operation and maintenance phases.

Additionally, more than $80m is expected to be distributed among the host communities, exclusively for the Secteur sud project.

“I would like to salute the outstanding collaboration with our partners Énergir and Hydro-Québec in the realization of this vital project for Québec,” said Hugues Girardin, Executive Vice President and General Manager, North America, Boralex.

“We’ve been fortunate enough to successfully develop and operate wind farms on the Seigneurie de Beaupré for nearly 15 years.

“It’s the strength of this partnership that will enable us to bring the Des Neiges – Secteur sud project to fruition, thereby contributing to the province’s energy independence and sustainable economic growth,” he added.

The Des Neiges – Secteur sud project financing includes a $733m construction loan, which will convert to a term loan following the start of deliveries of electricity, scheduled for the fourth quarter of 2026 and a $170m bridge loan, allowing the financing of the refund to be received for the switchyard.

This short-term facility will reduce the amount of equity capital allocated to the project in the short term and thus optimizing the overall capital structure required for the project.

The financing also includes a $57m guarantees facility.

The Desjardins Group serves as Administrative Agent for this financing.

The general contractor, Borea Construction, has been mobilised on site for preliminary work since December 2024.

Borea will then collaborate with Quebec companies and suppliers for the bulk of the site work, which is scheduled to begin more formally in the coming months.

More information: https://renews.biz/100616/canadian-wind-project-secures-1bn-in-financing/