Strata Clean Energy – a leading developer, owner, and operator of renewable energy projects – announced it has closed on a $559 million financing for the construction and ownership of the Scatter Wash battery storage complex. And the 255MW/1,020MWh storage facility broke ground on January 18 and is expected to be operational by April 2025.
A consortium of leading financial institutions collaborated in securing the necessary funding for this project. And J.P. Morgan and Nomura acted as Coordinating Lead Arrangers and Joint Bookrunners. J.P. Morgan had roles as Administrative Agent, Depositary Agent, and Collateral Agent. This funding was further supported by U.S. Bancorp Impact Finance and CoBank as Coordinating Lead Arrangers with The Korea Development Bank and Norddeutsche Landesbank as Joint Lead Arrangers. And Siemens and Regions contributed as lenders in this transformative project, and U.S. Bancorp Impact Finance was also the primary tax equity investor.
The Scatter Wash battery storage complex will store enough electricity to power 50,000 Arizona homes during peak summer conditions for 20 years, revolutionizing grid stability and streamlining the incorporation of renewable energy sources in Arizona, advancing economic growth and environmental sustainability. And in May 2023, Strata forged a 20-year tolling agreement with Arizona Public Service, cementing its commitment to this groundbreaking initiative.
KEY QUOTES:
“The successful financing for the Scatter Wash battery storage complex marks a significant step forward in our mission to drive the transition to clean energy. This opportunity to collaborate with our financing partners to bring this critical project to fruition will create a lasting, sustainable impact on a region that struggles with grid challenges and extreme heat.”
– Markus Wilhelm, Chief Executive Officer of Strata Clean Energy
“J.P. Morgan is working to provide capital to accelerate the growth of sustainable infrastructure nationwide. We’re very pleased to work alongside Strata to decarbonize our communities and build a more resilient energy future.”
– John Beebe, Executive Director, J.P. Morgan Green Economy Banking
“U.S. Bancorp Impact Finance is thrilled to expand an already fruitful relationship with Strata Clean Energy by deploying debt and tax equity to meet our customer’s demand for this exciting project. We believe everyone has a role to play in creating a sustainable future and look forward to the potential impact this project will have in Arizona.”
– Impact Finance Chief Investment and Product Officer Sunil Rajpurohit
