Recurrent Energy, a solar and energy storage project developer and wholly owned subsidiary of Canadian Solar announced the closing of $183 million in project and tax equity financing for its 200 MWh Fort Duncan storage project in Maverick County, Texas.
The project is currently under construction and is expected to reach commercial operations by the summer of 2025.
Nord/LB led the project financing, which included a construction and term loan, a tax equity bridge loan, and a letter of credit facility totaling $112 million. The company also closed a $71 million tax equity partnership with Greenprint Capital.
The storage project will operate on a merchant basis, storing and dispatching power to the ERCOT grid in response to the market demand.
The company will also own and operate the Fort Duncan storage project. e-STORAGE is supplying the energy storage systems, while Burns & McDonnell is constructing the project.
Sondra Martinez, managing director at Nord/LB, said, “Nord/LB is excited to have supported Recurrent Energy on the Fort Duncan financing. This transaction highlights the longstanding relationship between our firms and our ability to work together on creative financing structures to advance our shared commitment to the clean energy transition. Nord/LB is proud to be a trusted partner, leveraging our ERCOT market knowledge and battery storage expertise to bring this transaction to a successful close.”
In December, the company announced the financial closure of the Carwarp Energy Park located in northwest Victoria near the town of Carwarp, consisting of 171 MW of solar with a Stage 2 hybrid 120 MW co-located battery energy storage system.
According to Mercom’s Annual and Q4 2024 Funding and M&A Report for Energy Storage and Smart Grid, announced Energy Storage project funding in 2024 increased 53% year-over-year.
This month, Cypress Creek Renewables, a renewable energy project developer and independent power producer, secured approximately $133 million in funding to support the development of the 200 MW Destiny Energy Storage project in Texas.
