WEC Energy Adds to Renewables Portfolio with Majority Stake in 155 MW Wind Farm
Electricity and natural gas provider WEC Energy Group announced today that it has agreed to acquire an 85% stake in South Dakota-based Tatanka Ridge Wind Farm, currently under construction. WEC’s total investment is expected to reach $235 million. In addition to the stake in the project, WEC will also receive substantially all of the tax benefits.
Upon completion, the wind farm will consist of 56 wind turbines with a combined capacity of 155 megawatts. The project is being developed by Avangrid Renewables, with commercial operation expected to begin by early 2021. According to WEC, the project has long-term offtake agreements for 100% of the energy produced with a multinational investment grade company and a well-established electric cooperative that serves utilities in multiple states.
The transaction is the latest step for WEC in its long-term transition to lower carbon power generation. Over the past several years, the company has transitioned two of its coal-fueled plants to natural gas. WEC has also invested in numerous zero carbon energy sources including widparks and hydroelectric systems, and is developing several more projects, including several solar farms.
Gale Klappa, WEC Energy Group Executive Chairman said:
“This is the latest in a series of investments that fit exceptionally well with our strategy of deploying capital in renewable energy assets that will serve strong, vibrant customers for years to come.”