January 6 (Renewables Now) - Pattern Energy Group Inc (NASDAQ:PEGI) has secured financing and initiated construction work on the 271-MW repowering of the Gulf Wind park in Texas.
The project involves replacing the existing wind turbines at the site in Kenedy County with 118 new ones of the SWT-2.3-108 model, supplied by Siemens Gamesa Renewable Energy SA (BME:SGRE).
"Repowering Gulf Wind with brand new turbines made strong economic sense due to its unique location on the Gulf Coast, where the winds blow strongest at the times of Texas' peak energy demand and pricing," said Mike Garland, President and CEO of Pattern Energy. He noted that the project will improve the production efficiency of the wind farm and lower its operating costs. Also, the facility will benefit from renewed production tax credits (PTCs). It has been operational since 2009.
The wind park has a new power purchase agreement (PPA) with Austin Energy that covers the majority of its output over a term of 20 years. The rest of the generated electricity will be sold at merchant power prices.
Pattern estimates that the repowered Gulf Wind facility will contribute some USD 90 million (EUR 80.4m) to the local economy through tax and landowner payments over 25 years.
(USD 1.0 = EUR 0.893)