Aypa Power, a Blackstone portfolio company and developer, owner and operator of energy storage and hybrid generation assets, has closed an $88 million construction and term loan facility with CIT, a division of First Citizens Bank, and Siemens Financial Services, Inc. for its Wolf Tank energy storage project.
Wolf Tank is a 173 megawatt-hour standalone battery storage energy project located in Webb County, Texas. The project will begin commercial operations in 2023 and support the delivery of dependable electricity supply in the south region of the Electric Reliability Council of Texas (ERCOT).
“Battery storage is an increasingly valuable component of the electricity generation mix, facilitating the integration of renewable power generation into the electric grid, ensuring dependable electricity flow,” said Marc Atlas, Chief Financial Officer of Aypa Power. “We appreciated CIT’s and Siemens’ support, agility and expertise in arranging the financing for the Wolf Tank project.”
“Aypa Power is a premier developer and operator of successful battery energy storage systems (BESS) across the United States,” said Mike Lorusso, managing director and group head for CIT’s Power and Energy business. “We are pleased to finance this innovative project that will support renewable power generation and help sustain reliable power in the South Texas market.”
“Similarly, Siemens is delighted to finance these energy storage facilities and praises Aypa Power in their strategic endeavors to supply critical battery infrastructure to South Texas,” said Jim Fuller, Head of Project Finance, Siemens Financial Services, Inc. “We share the same commitment to sustainability and advancing decarbonization goals for our customers and their surrounding communities.”
“As energy demands continue to grow in Texas, so do challenges with reliability,” said Aypa Power CEO, Moe Hajabed. “Wolf Tank and other Aypa energy storage and hybrid projects within our 12GW pipeline will provide flexible capacity to better meet peak load needs.”