Primergy Solar announced the Ash Creek solar project in Hill County, Texas has reached commercial operations. The project adds 408 MWac capacity to the ERCOT grid.
The project has a long-term power purchase agreement with Microsoft. Last year, Primergy announced it secured $588 million in project financing for Ash Creek solar, along with $350 million in tax equity financing, bringing the total to nearly $1 billion.
The project was financed via a construction loan, tax credit transfer bridge loan and related letters of credit. Investment was led by MUFG Bank, Ltd. and SMBC as lead structuring arrangers.
Orion Power Generation, a joint venture between Orion Renewable Energy Group and Eolian, initially developed the project starting in 2016. Primergy acquired the project in 2021. Solv Energy served as the engineering, procurement and construction contractor.
Ash Creek solar will contribute an estimated $100 million in tax payments to Hill County, Texas over its operational life, increasing the tax base of local school districts.
“Projects like Ash Creek Solar provide thoughtful energy solutions to meet the needs of consumers, drive long-term value, and strengthen America’s energy independence,” said Ty Daul, chief executive officer, Primergy. “We are proud to work alongside Microsoft, our local stakeholders, and the broader Hill County community to ensure this project delivers reliable and affordable energy to the grid, along with economic growth for the community for years to come.”
The project supported 350 local full-time construction jobs and six full-time permanent positions will remain to maintain the plant.
Primergy develops some of the largest solar projects in North America, including the Gemini Solar + Storage project, which became operational in July 2024. Located in Nevada, Gemini added 690 MW of solar 380 MW of 4-hour battery energy storage to the grid. The project contains over 1.8 million solar panels.
Texas is a solar giant, with over 43.5 GW installed, ranking it first among the states in terms of capacity added in 2024, according to the Solar Energy Industries Association (SEIA). SEIA reports the state has enough capacity to power over 5 million Texas homes and sources over 8% of its electricity from solar. Over 12,000 people are employed by the solar industry in Texas, said SEIA.
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