The developers of a solar power project in the US state of California have closed a US$935 million financing that includes letter of credit (L/C) funding.

The project sponsored by NextEra Energy Resources subsidiary, Genesis Solar, has also secured the support of the US Department of Energy's (DOE's) loan guarantee programme.

Financing structure

Construction and term financing for the 250MW Genesis solar project consists of US$702 million in project bonds, a US$150 million project term loan facility and an US$83 million project L/C facility.

The DOE has provided a loan guarantee of 80 per cent of the principal and interest on the project bonds and project term loan under its Financial Institution Partnership Programme.

Financiers

Credit Suisse is the lender of the project term loan and applied for the DOE's loan guarantee. The bank also purchased the project bonds.

Banco Bilbao Vizcaya Argentaria extended the L/C facility.

NextEra Energy Resources is the largest North American generator of renewable energy from the wind and sun.

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