Alterra Power Corp. (TSX: AXY) and Inovateus Solar LLC are pleased to announce that their 7 MWDC Kokomo solar project commenced full commercial operations on December 29, 2016.
Following the start of commercial operations, on December 30, 2016, a previously announced $8.9 millionconstruction loan was repaid via a $5.0 million 10-year term loan and $4.0 million tax equity investment, both provided by 1st Source Bank, a subsidiary of 1st Source Corporation (NASDAQ: SRCE).
Alterra will hold a majority interest of at least 85% in the project, with final partnership allocation adjustments to occur in the first quarter of 2017.
Alterra will manage the project, located in Kokomo, Indiana, which sells 100% of its power under a 20-year agreement with Duke Energy Indiana. Inovateus managed the construction of the project and also provides operations and maintenance services under a long-term contract. The project provides 7 MWDC of clean power capacity to the community and is located on a remediated Superfund parcel of land.
John Carson, Alterra’s CEO said “We’re pleased with this achievement and the opportunity to work with our project partners Inovateus, 1st Source, and Duke Energy Indiana. We’re looking forward to further growth of our US solar business in 2017.”
“The Kokomo Project marks Inovateus’ first investment and ownership in a project, and it’s been an honor to work with our partners Alterra and 1st Source Bank,” said TJ Kanczuzewski, President of Inovateus.
Alterra and Inovateus are also co-developing Spartan PV I, a 13.5 MWDC site solar project in Michigan that is expected to enter construction in 2017.
