PHILADELPHIA, March 21, 2024 (GLOBE NEWSWIRE) -- Doral Renewables LLC (“Doral Renewables”) has successfully closed construction debt financing for its Great Bend Solar project. HSBC acted as sole lender for the $114 million financing for the project, which consisted of a $36 million construction-to-term loan facility, a $57 million tax equity bridge loan, and a $21 million letter of credit facility.
Great Bend Solar is located on 370 acres in Meigs County, Ohio, approximately 100 miles southeast of Columbus, in the central region of PJM. The project will be a ground-mounted single-axis PV system with 48 MWac of solar power capacity. The construction and operation of Great Bend Solar will represent Doral’s first such investment in the state of Ohio. The project will generate energy and renewable energy certificate revenue via a long-term Power Purchase Agreement (PPA) with one of the largest investor-owned utilities in the U.S. Doral expects that the facility will power approximately 9,000 homes once in operation. Furthermore, the Great Bend Solar project will provide over $400,000 per year of new annual tax revenue to Meigs County.
“We are proud to support Doral Renewables with this financing and to have partnered with their world class team, furthering HSBC’s commitment to financing premier renewables projects,” said Paul Snow, Head of Renewables, Americas at HSBC. “This is our inaugural facility with Doral Renewables, complementing HSBC’s ambition to deliver a net zero global economy,” said James Gallagher, Head of International Banking USA at HSBC. “We look forward to enhancing our relationship with Doral in 2024 and beyond.”
“We are thrilled to have collaborated with HSBC to raise this innovative project debt which will enable us to bring Great Bend Solar, our first project in the Buckeye State, to commercial operation around the end of 2025,” said Evan Speece, Chief Financial Officer at Doral Renewables. “We look forward to continuing to work with HSBC and our financing partners more broadly to bring clean energy from Great Bend Solar and the rest of our growing pipeline to customers throughout the United States.”
About Doral Renewables LLC
Doral Renewables is a Philadelphia-based company with diverse global management and leadership that includes Doral Renewable Energy Resources Group (TASE:DORL, “Doral Group”), a publicly traded Israeli renewable energy company, Migdal Group, Israel’s largest insurance company and pension manager and US-based Clean Air Generation, with further financial backing from Apollo Global Management (NYSE:APO). Doral Renewables is developing an over 11 GWac solar and storage portfolio across 18 states, 9 electricity markets and covering approximately 150,000 acres of land. It has over $2 billion in long-term wholesale power purchase agreements with U.S. customers.
About Doral Group
Doral Group is a global renewable energy leader, holding hundreds of long-term revenue-generating renewable energy assets. Doral Group is a publicly traded company on the Tel Aviv Stock Exchange in Israel and is active, inter alia, in Israel, Europe, and the United States. Doral Group is also emerging as a worldwide leader in the field of solar + storage solutions. Its global project backlog is about 15.2 GW (DC) of solar projects and 12.3 GWh of storage.
About HSBC
HSBC USA Inc. is a Maryland corporation and its principal business is to act as a holding company for its subsidiaries including HSBC Bank USA, N.A. Through HSBC Bank USA, N.A. and its subsidiaries, HUSI offers a full range of traditional banking products and services to individuals, including high net worth individuals, small businesses, corporations, institutions and governments. HSBC USA Inc. is a wholly-owned subsidiary of HSBC North America Holdings Inc.
HSBC Holdings plc, the parent company of HSBC, is headquartered in London. HSBC serves customers worldwide from offices in 62 countries and territories. With assets of US$3,021bn at 30 September 2023, HSBC is one of the world’s largest banking and financial services organizations.
Contacts
Media Inquiries: Ran Rabi, ranrabi@doral-llc.com
Financing Inquiries: Evan Speece, espeece@doral-llc.com
