Primergy Solar, a developer of distributed and utility-scale solar and battery storage projects, announced closing $225 million in project financing for developing its Valley of Fire (VoF) portfolio. The funding comprises a $125 million tax credit sale for the Gemini Solar + Storage project and a $100 million revolving credit facility from Rabobank for the continued development of the other VoF projects.
The VoF portfolio includes the 2024-commissioned Gemini Solar + Storage project and five additional projects in Nevada, Colorado, and Arizona, totaling over 2.65 GW of solar and up to 1.5 GW of battery storage capacity.
Orrick and Paragon Energy Capital advised Primergy on the Gemini tax credit transfer sale, while Stoel Rives advised Primergy on the VoF credit facility.
The other projects range from early-to-late-stage development targeting commercial operations through 2030, including the contracted Purple Sage Energy Center, a 400 MWac solar with a 1.6 GWh battery storage project in Nevada.
“Valley of Fire is a critical component of our growing portfolio of operational and development-stage projects across the country,” said Tim Larrison, CFO of Primergy. “Adding tax credit sales to our financing toolbox along with increasing our access to additional credit capacity from leading financial institutions, like Rabobank, will help us to continue delivering clean energy at scale and in the proven Primergy way of responsible, stakeholder-oriented development.”
According to Mercom’s recently released 9M and Q3 2024 Solar Funding and M&A report, large-scale project funding in the 9M 2024 totaled $34.3 billion in 180 deals, up from $27.5 billion in 169 deals in 9M 2023.
Last month, Primergy Solar secured $350 million in tax equity financing for the 408 MWac Ash Creek solar project in Hill County, Texas. Latham & Watkins and Paragon Energy Capital advised Primergy, while Milbank and Cornerstone Financial Advisors advised the telecommunications company and Truist Bank on the transaction. Microsoft has signed a long-term power purchase agreement with Primergy.
