Terra-Gen, an independent renewable energy producer jointly owned by Igneo Infrastructure Partners and Masdar, announced the closure of the project financing for the construction of the 250 MW Lockhart III & IV solar project in San Bernardino County, California.
The financing package totals $383.3 million, including a $236.1 million tax equity bridge loan, a $107.5 million construction and term loan, and an additional $39.7 million of unfunded facilities.
A group of four commercial U.S. and international banks, including Crédit Agricole Corporate and Investment Bank, ING, NORD/LB, and U.S. Bank, provided the funding through its subsidiary, U.S. Bancorp Impact Finance.
The project began construction earlier this year. The projects are expected to start commercial operations by 2026. Cupertino Electric is serving as the project’s engineering, procurement, and construction contractor. EPC Services is constructing the high-voltage facilities, and First Solar is supplying the solar modules.
The project, to be located adjacent to the earlier Lockart phases, is partially constructed on the site of the company’s former SEGS IX solar thermal facility, which was decommissioned in 2024. The facility will be connected to the grid via the existing gen-tie line to the Kramer Junction Substation.
“The financing of our Lockhart project marks another significant milestone in advancing our renewable energy portfolio and strengthening our position in one of the most dynamic renewable energy markets in the country,” said John O’Connor, chief executive officer for Terra-Gen.
The Lockhart complex comprises Lockhart I with 85 MW capacity and Lockhart II with 75 MW, as well as a 45 MW, four-hour stand-alone battery energy storage project and a 129 MW co-located four-hour storage project that is currently under construction.
According to Mercom’s 9M and Q3 2025 Solar Funding and M&A report, large-scale project funding increased by 43% in the first nine months of 2025 compared with the same period in 2024.
In November 2025, Octopus Australia, an energy fund manager and developer, secured A$900 million (~$588 million) in financial closure for its Blind Creek Solar Farm and Battery project, located in Bungendore, New South Wales, Australia.
