Capital Energy secures project financing with Banco Sabadell for up to €26 million

• For the first wind farm that it is building in Asturias, Buseco.
• The funding, which is set up in two tranches of around 22 and 4 million, has a 16-year minimum term, which can be extended to 18 as soon as a PPA is signed for this 50 megawatt (MW) renewable installation, which will be operational in the first half of 2022.
• This operation opens a new financing instrument for Capital Energy, whose renewable installations portfolio is already at around 38 gigawatts (GW) in Spain and Portugal, of which over 8,500 MW have granted access permits to the grid.

Madrid, 24 March 2021.- Capital Energy, a Spanish power company that was incorporated in 2002 with the aim to become the first 100% vertically integrated renewable power supplier on the Iberian Peninsula, has just taken a new step towards consolidating, from a financial point of view, the development of its clean energy project.

Capital Energy has just secured a project finance with Banco Sabadell, for up to €26 million, for the first wind farm that it is building in the Principality of Asturias: Buseco, with 50-megawatt (MW) capacity.

The financing operation agreed between Capital Energy and Banco Sabadell, the first between both companies, comprises two tranches: the first for around €22 million and a second for around €4 million, subject to the signing of a power purchase agreement (PPA) with a purchaser who has investment-grade rating.

This Capital Energy project finance will have a 16-year minimum term, which can be extended to 18 as soon as the said PPA is signed for this renewable energy facility, which is set to commence power generation in the first half of 2022.

The 10 wind turbines of the Buseco farm, which will be supplied by Siemens Gamesa, will be able to produce over 129,000 megawatts per hour (MWh) of clean energy per year, equivalent to the consumption of around 54,000 Asturian homes, and will prevent the annual emission to the atmosphere of over 51,600 tonnes of CO2.

This Capital Energy farm will lead to the creation of over 280 direct jobs during the peak construction periods, and during the operating and maintenance stage it will provide 10 permanent jobs to 10 local professionals.

On the other hand, the installation will have an annual impact on the local coffers (Property Tax and Business Tax), as well as through lease contracts, of over €287,000. Added to this recurring amount are the one-time payments for the Tax on Constructions, Installations and Works (ICIO), which was €1.14 million, and for several easements of way (€251,000).

This operation opens a new pathway for financing for Capital Energy, which last week also announced the issue of a €50 million bond, with a maturity of 18 months, fully subscribed by the French investor Eiffel Investment Group.

Thanks to this issue, the first of this nature for the company, Capital Energy has obtained the resources necessary to continue to partially cover the equity required for some of the most mature renewable energy projects of its Spanish portfolio.