BELMONT, Calif., Aug. 12, 2015 /PRNewswire/ -- SunEdison, Inc.
(NYSE: SUNE), the world's largest renewable energy development
company, today announced they have signed a definitive agreement
with Dominion (NYSE: D), one of the nation's largest producers and
transporters of energy, establishing a joint venture (JV) for Four
Brothers, a 420 megawatt (MW) DC, or 320 megawatt AC, solar project
in Utah, developed by SunEdison.
The project is now under construction and fully financed with an
expected commercial operation date of mid-2016. The Four Brothers
project is contracted under long-term power purchase agreements for
20 years with PacifiCorp (A-/A3), a subsidiary of Berkshire
Hathaway Energy.
Under the terms of the JV, Dominion will invest approximately
$500 million to acquire 50 percent of
the cash equity and 99 percent of the tax equity in Four Brothers,
including funding of construction. SunEdison will contribute the
remaining portion of the capital required to complete the project,
which it has fully financed through a $150
million four-year term loan with Deutsche Bank. The total
$650 million financing package fully
funds the project for completion and long-term ownership.
Four Brothers generates approximately $40
million dollars of unlevered cash available for distribution
(CAFD) to Dominion and SunEdison. SunEdison's 50 percent interest
in the Four Brothers project is on the Call Right Projects List for
TerraForm Power, Inc. (Nasdaq: TERP), a global owner and
operator of clean energy power plants.
"We are very pleased to establish a great strategic partnership
with Dominion, one of the nation's largest and most innovative
producers of energy in jointly owning the Four Brother project,"
said Paul Gaynor, executive vice
president of SunEdison EMEA & Americas. "From a financial
perspective, the Dominion partnership demonstrates the quality of
our project and provides SunEdison and TerraForm Power with a
complete solution for the construction and permanent financing of
this 420 MW solar facility. This solar project will also bring
clean, affordable electricity to Utah residents and businesses while providing
attractive returns for its owners. This partnership represents a
major investment in the Utah
economy, and creates both local jobs and steady income for the
state from property and other taxes."
The Four Brothers project is expected to produce enough
electricity to power more than 90,000 homes. As an added benefit,
the construction of the solar power project is expected to create
an estimated 500 construction jobs within the rural communities of
Beaver and Iron Counties and produce $66 million in direct property and income taxes
over 20 years.
About SunEdison
SunEdison is the world's
largest renewable energy development company and is transforming
the way energy is generated, distributed, and owned around the
globe. The company develops, finances, installs, owns and operates
renewable power plants, delivering predictably priced electricity
to its residential, commercial, government and utility customers.
SunEdison is one of the world's largest renewable energy asset
managers and provides customers with asset management, operations
and maintenance, monitoring and reporting services. Corporate
headquarters are in the United
States with additional offices and technology manufacturing
around the world. SunEdison's common stock is listed on the New
York Stock Exchange under the symbol "SUNE." To learn more visit
www.sunedison.com.
About Dominion
Dominion is one of the nation's
largest producers and transporters of energy, with a portfolio of
approximately 24,600 megawatts of generation, 12,200 miles of
natural gas transmission, gathering and storage pipeline, and 6,455
miles of electric transmission lines. Dominion operates one of the
nation's largest natural gas storage systems with 928 billion cubic
feet of storage capacity and serves utility and retail energy
customers in 13 states.
Forward Looking Statements
This communication
contains forward-looking statements within the meaning of Section
27A of the Securities Act of 1933 and Section 21E of the Exchange
Act. Forward-looking statements can be identified by the fact that
they do not relate strictly to historical or current facts. These
statements involve estimates, expectations, projections, goals,
assumptions, known and unknown risks, and uncertainties and
typically include words or variation of words such as "expect,"
"anticipate," "believe," "intend," "plan," "seek," "estimate,"
"predict," "project," "goal," "guidance," "outlook," "objective,"
"forecast," "target," "potential," "continue," "would," "will,"
"should," "could," or "may" or other comparable terms and phrases.
All statements that address operating performance, events, or
developments that SunEdison expects or anticipates will occur in
the future are forward-looking statements. They may include
estimates of expected cash available for distribution (CAFD),
earnings, revenues, capital expenditures, liquidity, capital
structure, future growth, and other financial performance items
(including future dividends per share), descriptions of
management's plans or objectives for future operations, products,
or services, or descriptions of assumptions underlying any of the
above. Forward-looking statements provide SunEdison's current
expectations or predictions of future conditions, events or results
and speak only as of the date they are made. Although SunEdison
believes its expectations and assumptions are reasonable, it can
give no assurance that these expectations and assumptions will
prove to have been correct and actual results may vary
materially.
By their nature, forward-looking statements are subject to risks
and uncertainties that could cause actual results to differ
materially from those suggested by the forward-looking statements.
Factors that might cause such differences include, but are not
limited to, a variety of economic, competitive and regulatory
factors, many of which are beyond SunEdison's control and are
described in SunEdison's Form 10-K for the fiscal year ended
December 31, 2014, as well as
additional factors it may describe from time to time in other
filings with the Securities and Exchange Commission. You should
understand that it is not possible to predict or identify all such
factors and, consequently, you should not consider any such list to
be a complete set of all potential risks or uncertainties.
SunEdison disclaims any obligation to publicly update or revise
any forward-looking statement to reflect changes in underlying
assumptions, factors, or expectations, new information, data, or
methods, future events, or other changes, except as required by
law.
Logo - http://photos.prnewswire.com/prnh/20150203/173064LOGO
To view the original version on PR Newswire,
visit:http://www.prnewswire.com/news-releases/sunedison-announces-dominion-partnership-in-420-megawatt-four-brothers-solar-project-in-utah-300127790.html
SOURCE SunEdison, Inc.