MBO Team Leads Closing on Wind Farm Project

On September 30, 2010, MBO client Golden Spread Electric Cooperative, Inc. closed on the acquisition of Wildorado Wind Two, LLC, a special purpose entity formed by Cielo Wind Power to develop and construct a 78.2 MW wind generation facility just west of Amarillo, Texas. Thirty-four Siemens 2.3 MW wind turbine generators will be constructed at the site. The project will be called the Golden Spread Panhandle Wind Ranch. The transaction involved complex legal issues, including revising existing wind leases and transmission easements, forming a new company to hold an interconnection agreement, renegotiating key contract terms and securing repeated extensions of contractor pricing guarantees, securing FERC regulatory approvals, and finally obtaining lender consents from a consortium of eight seller banks. Notices to proceed have been issued to the EPC contractor, Wanzek Construction, Inc., and to Siemens Energy, Inc.; the construction phase is now underway.

Questions about the details of the transactions may be addressed to Roger Wagner.