Exporter: Power Systems Inc. – Barre, Vermont
Ex-Im Bank Product: Renewable Express Lender Loan Guarantee
Jobs Supported: 15
Northern Power Systems Inc., a manufacturer of wind turbines based in Barre, Vermont, is using Renewable Express financing from Ex-Im Bank to export 55 100-kilowatt (kWh) wind turbines for community wind projects in Italy.
The wind towers will be owned by the borrowers – ARG Energie S.R.L., Eoland S.R.L. and PurEnergy Land S.R.L. – special-purpose corporations that will sell all of the electricity produced to Gestore dei Servizi Electtrici S.p.A. (GSE). GSE is a public company wholly owned by the Ministry of Finance and Economy that administers Italy's renewable-energy programs.
The three separate authorizations were processed under Ex-Im Bank's Renewable Express, which provides streamlined limited-recourse project financing to small renewable-power producers that meet the Bank's credit standards. This is the first time that Ex-Im Bank has assisted in financing a community wind-power project on a project-finance basis. These exports, known as distributed wind turbines, will be installed in independent wind towers that will generate power for local commercial use and supply to the power grid. The sale is the largest U.S. export of these kinds of wind turbines to any country.
Ex-Im Bank is guaranteeing a total of $22.2 million in euro-denominated loans from RB International (USA) LLC of New York to facilitate the purchase of 55 Northern Power™ 100-kWh permanent-magnet direct-drive wind turbines by PurEnergy, a wind-energy developer based in Bisaccia, Italy.
These lender loan guarantees have 15-year repayment terms that enabled Northern Power Systems to compete successfully against European and Asian suppliers backed by financing from their governments' export-credit agencies.
More than 15 jobs are being directly supported by these transactions at the 140-employee company. Northern Power anticipates the sale will also generate 30 to 45 additional jobs in its supply chain.
"The combination of Northern Power's world-class turbine performance with Ex-Im Bank-backed financing offers international customers the potential for very attractive project returns. We look forward to continuing our partnership with Ex-Im Bank to grow our business and expand green jobs at our company and throughout our supply chain," noted CEO John P. Danner.