Algonquin Power & Utilities Corp. Announces Acquisition of 20 MWac Solar
OAKVILLE, ON, Nov. 28, 2013 /CNW/ - Algonquin Power & Utilities Corp. ("APUC")
(TSX: AQN) today announced that a subsidiary of APUC's renewable power
generation business Algonquin Power Co. ("APCo") has entered into an agreement
with Valos Solar Ventures LLC to purchase and complete construction of a 20
MWac Solar Facility ("Bakersfield Solar") located near Bakersfield, California.
Following commissioning, scheduled for Q4 2014, Bakersfield Solar is expected
to generate 53.3 GWh of energy per year and will have 20 year warranties on
panels and inverters. Bakersfield Solar, located in Kern County, California
will sell its energy to PG&E pursuant to a 20 year power purchase contract.
Consideration for the acquisition of the development rights from the original
developer of the Bakersfield Solar project is approximately $2.2 million.
Total capital cost to construct the project, including the acquisition of the
land on which the project is located, is expected to be approximately $58.5
Permanent financing of the Bakersfield Solar project is expected to be
consistent with APUC's targeted investment grade consolidated capital
structure. Consistent with financing structures utilized for U.S. based
renewable energy projects, it is anticipated that approximately 45% of the
construction costs of Bakersfield Solar will be funded by certain tax equity
"We are very pleased to announce our second solar generation facility as we
continue to execute on our stated plan to expand our investment in this
modality of power generation," commented Chief Executive Officer Ian
Robertson. "We believe that solar power generation is emerging as an important
part of the electrical generation mix for the years to come and from a
diversification perspective, its low year-over-year production volatility and
low variability correlation with our other generation technologies is a key
element in continuing to further de-risk our portfolio."
About Algonquin Power & Utilities Corp.
Algonquin Power & Utilities Corp. owns and operates a diversified$3.2
billionportfolio of regulated and non-regulated utilities inNorth America.
The company's regulated utility business is committed to provide water,
electricity and natural gas utility services to over 470,000 customers through
a nationwide portfolio of regulated generation, transmission and distribution
utility systems. The company's non-regulated electric generation subsidiary
owns or has interests in renewable energy and thermal energy facilities
representing more than 1,100 MW of installed capacity. Algonquin Power &
Utilities Corp. delivers continuing growth through an expanding pipeline of
renewable power and clean energy projects, organic growth within its regulated
utilities and the pursuit of accretive acquisition opportunities. Common
shares and preferred shares are traded on the Toronto Stock Exchange under the
symbols AQN and AQN.PR.A respectively. Visit Algonquin Power and Utilities
atwww.AlgonquinPowerandUtilities.com and follow us on
Caution Regarding Forward-Looking Information
Certain statements included in this news release contain information that is
forward-looking within the meaning of certain securities laws, including
information and statements regarding prospective results of operations,
financial position or cash flows. These statements are based on factors or
assumptions that were applied in drawing a conclusion or making a forecast or
projection, including assumptions based on historical trends, current
conditions and expected future developments. Since forward-looking statements
relate to future events and conditions, by their very nature they require
making assumptions and involve inherent risks and uncertainties. APUC cautions
that although it is believed that the assumptions are reasonable in the
circumstances, these risks and uncertainties give rise to the possibility that
actual results may differ materially from the expectations set out in the
forward-looking statements. Material risk factors include those set out in the
management's discussion and analysis section of APUC's most recent annual
report, quarterly report, and APUC's Annual Information Form. Given these
risks, undue reliance should not be placed on these forward-looking
statements, which apply only as of their dates. Other than as specifically
required by law, APUC undertakes no obligation to update any forward-looking
statements or information to reflect new information, subsequent or otherwise.
SOURCE Algonquin Power & Utilities Corp.
Kelly Castledine Algonquin Power & Utilities Corp. 2845 Bristol Circle,
Oakville, Ontario, L6H 7H7 Telephone: (905) 465-4500
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