Renewable Energy Gets Co-Operative Bank Loan for U.K. Wind Farms

Renewable Energy Generation Ltd. (WIND), a U.K.-based clean power developer, got a 16 million-pound ($26 million) loan from The Co-operative Bank Plc for two wind farms.

The 10-year loan was offered at a rate of 5.7 percent, Jersey-based REG said today in a statement detailing completion of project financing for its Sancton Hill and South Sharpley wind parks.

REG will draw down 9.7 million pounds today and 6.3 million pounds when the 6-megawatt South Sharpley plant in Durham, northern England, starts commercial operation at the end of the year, according to the statement. The 10-megawatt Sancton Hill facility in Yorkshire is already operational, according to the company’s website.

“The equity released will be reinvested in our next wave of construction projects as REG continues to expand its portfolio of renewable energy plant,” Chief Executive Officer Andrew Whalley said in the statement.

REG, listed on London’s AIM market, operates 11 wind projects in the U.K. with a total capacity of 51.15 megawatts and is developing more than 1,000 megawatts, according to the company.

To contact the reporter responsible for this story: Sally Bakewell in London at Sbakewell1@bloomberg.net

To contact the editor responsible for this story: Reed Landberg at landberg@bloomberg.net