Doral Renewables, a utility-scale renewable energy developer, announced closing a debt financing package to support the initial construction of the remaining phases of the Mammoth Solar complex in Northern Indiana. These phases consist of three ground-mounted, single-axis systems, each with a capacity of 300 MW, totaling 900 MW overall.
The three solar photovoltaic systems are Mammoth South, Mammoth Central I, and Mammoth Central II, located in Pulaski County, Indiana.
KeyBanc Capital Markets acted as coordinating lead arranger and administrative agent. HSBC and Santander Corporate & Investment Banking acted as joint lead arrangers for the $285 million financing, which includes a $200 million construction loan facility and $85 million of additional support via letters of credit.
Additionally, Bechtel, a construction company, signed an engineering, procurement, and construction agreement for the project.
The first phase of the project, the 400 MW Mammoth North system located in Starke County, Indiana, completed construction in July.
McDermott Will & Emery served as legal counsel to Doral, and Norton Rose Fulbright served as legal counsel to the lenders for the transaction.
This June, Doral Renewables also secured a $400 million minority equity investment from Dutch pension APG on behalf of Dutch pension fund ABP. APG said it would provide its pro rata share of corporate credit support and funding for the company’s energy business, amounting to an additional $185 million in capital over time.
Mercom’s 1H and Q2 2024 Solar Funding and M&A report announced that large-scale project funding in 1H 2024 came to $19.9 billion in 117 deals compared to $14.9 billion in 113 deals in 1H 2023. This report underscores the growing investment and M&A activity in the solar energy sector.
