$60 million investment for 70 GWh annually.
MONTREAL: Boralex Inc. has signed a binding letter of agreement to acquire a 22-megawatt run of Sequoia Energy Inc.’s river hydroelectric project.
Sequoia is a Winnipeg-based renewable energy project developer.
Boralex, a renewable energy company based in Kingsey Falls, Que., said the project, located near Gold Bridge, BC, will require a $60-million investment and will generate approximately 70 GWh annually. And it’s covered by a 40-year electricity purchase agreement with BC Hydro with a 20-year renewal option.
Permits have been secured and construction work is set to begin soon, with the hydroelectric station slated for commercial commissioning in late 2013.
Boralex said both companies work together throughout construction up to commercial operation “to ensure all stakeholder and First Nations expectations are achieved.”
The transaction is to close in the fall and that the financing for the project will be in place before the end of the year.