Lightsource taps BP and major banks to finance 260MW PV project in Texas

Share on facebook
Facebook
Share on twitter
Twitter
Share on linkedin
LinkedIn
Share on reddit
Reddit
Share on email
Email
View of Paris, the seat of Texas' Lamar County. Image credit: Cyril Fluck / Flickr.

Lightsource BP has enlisted its oil major backer BP and some of the world’s largest banks to sponsor a large utility-scale solar project in Texas, with plans to deliver the plant by year-end.

The developer’s 260MW Impact Solar project in Texas’ Lamar County will be bankrolled by US$250 million in funding, co-provided between Lightsource BP itself, HSBC, NatWest and Bank of America.

The financial close comes after construction of the installation got underway some 120 miles to the northeast of Dallas, with commercial operation scheduled by the end of 2020.

According to a statement, BP – which late last year upped its stake in Lightsource BP from 43% to 50% – will acquire the plant’s output under a long-term trading arrangement with the developer. 

Meanwhile, the 260MW solar venture will benefit from a senior debt facility provided by joint lead arrangers HSBC and Natwest, with the former of the two taking on a coordinating role.

For its part, Bank of America will contribute by supplying tax equity financing towards the US$250 million package, negotiated with advisers from Norton Rose Fulbright (legal) and CohnReznick Capital (tax equity).

For London-headquartered Lightsource BP, the foray into US solar is the latest of a series.

In the past year alone, the group has closed financing for a 125MW four-state portfolio, broken ground on a 70MW Pennsylvania trio and announced plans for a 130MW venture in Alabama and a 240MW plant set to power a historic mill in Colorado.

Elsewhere, Lightsource BP has in recent times lined up finance to develop a 700MW global pipeline, scooped up a 1.9GW portfolio in Brazil from developer Enerlife and recently opted for a bifacial-plus-trackers approach for its first ever Spanish solar developments, a pipeline of 300MW.

For its part, oil giant BP has in recent weeks joined Repsol, Equinor and other majors in the sector in adopting targets to reach net-zero emissions by 2050, via a reorganisation of its core business areas amongst other measures.

The prospects and challenges of solar's new era in the US will take centre stage at Large Scale Solar USA 2020 (Austin, Texas, on 23-24 June 2020).

Read Next

February 26, 2021
EDP will focus on North America to ramp up its solar capacity in the next five years as part of a new strategic update that will see the Portuguese utility target more than 50GW of renewables additions by 2030.
February 23, 2021
Dozens of chief executives in the renewable energy sector have demanded that US President Joe Biden repeal the tariff hike Donald Trump’s Administration placed on solar panel imports last year.
February 23, 2021
The development of Denmark’s grid will be driven by rising electricity demands from consumers rather than the growing renewables sector, a panel of key figures in the country’s green energy sector have suggested.
February 18, 2021
Solar assets in Texas have continued to generate despite the weather, but policy remains a hurdle to them aiding the grid
February 18, 2021
The US renewables industry overcame headwinds in 2020 to post record deployment figures and continue a decade-long growth trend, a joint report from BloombergNEF (BNEF) and the Business Council for Sustainable Energy (BCSE) has revealed.
February 17, 2021
Lightsource BP has brought its Italian development pipeline up to 1.2GW with the purchase of a 78MW project in Sicily.

Subscribe to Newsletter

Upcoming Events

Solar Media Events, Upcoming Webinars
March 9, 2021
Solar Media Events
March 17, 2021
Solar Media Events
April 13, 2021
Solar Media Events
April 20, 2021
Solar Media Events
June 15, 2021