Innergex Renewable Energy Inc. (INE-T) and the Mi'gmawei Mawiomi Business Corporation (MMBC) have closed financing for the construction and operation of a 102-megawatt wind project in Quebec.

The financing is broken down into a $163.9-million green loan, an interconnection bridge loan of $41 million and a $10.2-million letter of credit facility with CIBC, Desjardins Group and National Bank of Canada as lenders, joint bookrunners, coordinating lead arrangers and green loan coordinators.

It also includes a construction loan of $92.5 million and an equity loan of $15.4 million.

Named Mesgi'g Ugju's'n 2, it is a planned extension of the 150-megawatt (MW) Mesgi’g Ugju’s’n wind farm, located in the Gaspé Peninsula at the Avignon Regional County Municipality. Commissioning is expected in 2026.

Both projects are under 50-50 partnerships between Longueuil, Que.-based Innergex and MMBC, the economic development arm of three Mi’kmaq communities.

"Through our equal partnership with Innergex and the support of key financial institutions, we are demonstrating that Indigenous-led clean energy projects can be ambitious, innovative and deeply rooted in reconciliation and economic empowerment," Frederic Vicaire, CEO of MMBC, said in a release.

The Mesgi’g Ugju’s’n 2 project

Quebec’s government gave its approval for the Mesgi'g Ugju's'n 2 Wind Project in February. The infrastructure and facilities will be built by Levis, Que.-headquartered Borea Construction, and the wind turbines are to be supplied by German company Nordex.

The electricity will be sold under a 30-year power purchase agreement with Hydro-Québec.

Innergex has worked with Indigenous groups on similar projects. With the Innu Council of Pessamit and the regional county municipality of Manicouagan, it signed a 30-year power purchase agreement with Hydro-Quebec for a 300 MW wind project.

Michel Letellier, president and CEO of Innergex, called Mesgi'g Ugju's'n 2 a “powerful example of how strong Indigenous-led partnerships and clean energy development go hand in hand to generate economic and environmental value."

About Innergex

Innergex is one of Canada’s largest renewable energy companies, managing a portfolio with interests in 91 operating facilities across Canada, the U.S., Chile and France, totalling an aggregate net installed capacity of 3,737 MW.

The company also holds interests in 16 projects under development, five of which are under construction, with a net installed capacity of 915 MW. Stakes in prospective projects total 10,288 MW of capacity.

Those projects include the 400 MW Wautoma solar project slated for development in Benton County, Wash., and the 200 MW Ni Ti Mountain Wind project planned to be located in British Columbia.

Caisse de dépôt et placement du Québec, one of Canada’s largest pension funds, announced it would acquire Innergex in February. The renewable energy company’s board of directors and its largest shareholder Hydro-Quebec supported the bid, which is expected to close by Q4.