Northland Power Inc (TSE:NPI) has extended the maturity of its debt facility covering its equity participation in the 1,044-MW Hai Long offshore wind project in Taiwan.
The Canadian group said on Friday that the CAD-500-million (USD 366.8m/EUR 335.3m) short-term corporate credit facility will expire on December 31, 2023, instead of November 27, 2023. The facility, related to its equity contribution in the scheme will be repaid once Northland receives the proceeds from the 29.4% sale of its stake in the CAD-9-billion project to Malaysia’s Gentari, which was agreed last December and is expected to close in the fourth quarter.
Provided that the sell-down to Gentari is delayed, Northland could request a further extension of the credit facility or opt for refinancing, it said.
Hai Long is a partnership between Northland, with a 60% stake, and Japanese trader Mitsui & Co Ltd (TYO:8031). The duo reached financial closing on the scheme in September.
The offshore wind park will be built 45km-70km off the Changhua coast in the Taiwan Strait and should go online in 2026/2027. The 73-turbine complex made of three separate parks that will produce enough power to supply over one million homes in Taiwan.
(CAD 1.0 = USD 0.734/EUR 0.671)
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