Vancouver’s Finavera Renewables Inc. (TSX-V:FVR) said Wednesday it has sold its majority interest in the grid connection for Ireland’s largest onshore wind project for 8.4 million euros or roughly $11.3 million.
Finavera sold its interest in the Cloosh Valley project’s connection to SSE Renewables Ltd., the Ireland-based renewables development division of the U.K.’s Scottish and Southern Energy.
Finavera also signed a co-development agreement with SSE and Ireland’s Coillte, a state-owned commercial forestry and renewables company, to develop the Cloosh Valley project in Ireland, which is expected to produce up to 105 megawatts of power or enough electricity for approximately 68,000 homes.
Coillte is the landowner at the project site and has been a development partner on the project with Finavera since 2009. Finavera is retaining a 10% equity interest in the Cloosh Valley project and will participate in all project development functions and activities.
Finavera CEO Jason Bak said in a release: “We now have the right team and a clear path to construction and full operation of the Cloosh Valley project."
Bak co-founded Finavera Ltd. in Ireland in 2003, but the company was subsequently split into a gas and a renewable division, the latter of which has energy purchase agreements with BC Hydro for four wind projects it is developing in B.C.
In late July, Finavera secured up to $7.5 million from the energy business unit of General Electric Co. (GE) to develop its wind energy projects in B.C.’s Peace region. (See “Wind energy projects setting sail in B.C.’s Peace region ” – BIV Daily edition; July 26, 2010).
GE will also supply turbines for Finavera projects under the terms of a joint development agreement. GE had previously committed to funding Finavera’s projects.