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United States : Competitive Power Ventures, Marubeni Corporation & Toyota Tsusho Close Financing of $775 Million CPV St. Charles Energy Center in...

August 9, 2014



United States : Competitive Power Ventures, Marubeni Corporation & Toyota Tsusho Close Financing of $775 Million CPV St. Charles Energy Center in Maryland

Maryland-based Competitive Power Ventures (CPV) and partners Marubeni and Toyota Tsusho announced today they have closed financing with GE unit GE Energy Financial Services and 14 other lenders for the $775 millionCPV St. Charles Energy Center under construction in Waldorf, Charles County, Maryland. Financial details were not disclosed.

Located 25 miles southeast of Washington, DC, the CPV St. Charles Energy Center is a state-of-the-art 725- megawatt (MW) combined-cycle natural gas-fired power plant using two reliable, highly efficient GE 7F.05 Gas Turbines and a GE D400 Steam Turbine. The project will be constructed by SNC Lavalin Constructors Inc. and operated by EthosEnergy Power Plant Services, LLC.

The project will sell its capacity, energy and ancillary services into the transmission-constrained SWMAAC zone of the PJM market, powering 700,000 homes. The benefits of a reliable water supply for efficient wet cooling, as well as the site s proximity to PEPCO 230 kV transmission lines and the Dominion Cove Point natural gas pipeline, make this one of he most cost competitive projects in PJM.

The project has received strong support from Charles County and other key stakeholders in Maryland and will provide substantial reliability, economic, socioeconomic and environmental benefits to residents and electric consumers. It is expected that approximately 350-400 construction jobs will be created during peak construction, and about 24 well-paying permanent jobs will be created once the project is completed. It is expected to become one of the largest taxpayers in Charles County.

CPV St. Charles is financed under an innovative structure similar to one CPV introduced for the CPV Woodbridge Energy Center last fall.

The CPV St. Charles debt closing represents the second time CPV has successfully employed medium-term contract financing through the commercial bank market in the past year, said CPV s CFO, Paul Buckovich. Where very few commercial banks would consider lending to a project with such a profile just two years ago, CPV has helped evolve the lending market to where 10 lenders supported CPV Woodbridge and 15 participated in CPV St. Charles. The significant oversubscription of the CPV St. Charles senior debt package underscores the market s acceptance and appetite for innovative project finance structures, such as those at CPV Woodbridge and CPV St. Charles.

Marubeni is excited to be working with our partners CPV and Toyota Tsusho. With our investment we recognize CPV s excellent work developing and financing the project to date, and we look forward to helping drive the further success of the project in the future, said Toshi Fukumura, President and CEO of New York-based Marubeni Power International, Inc. The St. Charles combined-cycle power station represents our first asset in PJM and is a valuable addition to our portfolio.


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Source: TendersInfo (India)


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