Italian-firm ERG is entering the US market through an alliance with Apex Clean Energy, which will see it acquire 317 MW of wind and solar assets. A US-based holding company, including a wind farm and a solar plant, will be set up under the agreement. The portfolio includes 317 MW of installed capacity and production of one terawatt-hour, along with a cooperation agreement on 1 GW of new US solar and onshore wind projects under development.
Among these projects are the 224.4 MW Great Pathfinder Wind in Iowa and the 92.4 MW Mulligan Solar in Illinois, which became operational in February 2023 and July 2022, respectively. ERG will own 75 per cent of the holding company for $270 million. Apex will own the remaining 25 per cent and continue the operational management of the portfolio. The deal awaits regulatory clearance, with completion due in the first half of 2024.
In January 2022, Great River Energy and Apex Clean Energy signed an agreement to obtain renewable energy from a 400 MW wind farm in McLean County, North Dakota. The Discovery Wind project will be North Dakota’s largest wind project, with commercial operations planned in 2025. It would supply renewable energy across a 436-mile high-voltage direct-current (HVDC) transmission system.
REGlobal’s Views: This is ERG’s first overseas venture and the United States renewable energy market is a suitable choice for the company. United States is one of the most attractive renewable energy markets globally, and owing to its enabling regulations like Inflation Reduction Act, is a hotspot for developers and investors from all over the world.
