Vancouver-based Finavera Wind Energy Inc. (TSX-V: FVR) has agreed to sell its 77 megawatt (MW) Wildmare Wind Energy Project for approximately $22 million to Quebec renewable power producer Innergex Renewable Energy Inc. (TSX: INE).
The Wildmare Wind Energy Project, located near Chetwynd in northeast B.C., was awarded a 25-year power purchase agreement with BC Hydro and is at an advanced stage of permitting.
"We are extremely pleased to sign this agreement with Innergex for the sale of the Wildmare Wind Energy Project," said Finavera Wind Energy CEO Jason Bak. "This transaction provides a strong return on our investment in the development of wind energy for British Columbia.
"[It also] creates a stable platform for longterm growth and allows Finavera to recycle capital and fund the development of its remaining portfolio of projects."
Finavera said the sale is part of a larger strategic plan to ensure the company has a strong balance sheet, a strong project portfolio and a strong development team to optimize on the value of its wind project pipeline.
According to the company, the deal allows Finavera to replicate the success of the Wildmare project across its entire B.C. portfolio, which includes the 47 MW Tumbler Ridge Wind Energy Project, the 117 MW Meikle Wind Energy Project and the 60 MW Bullmoose Wind Energy Project.
The transaction is expected to close within 60 days. During the closing period, Finavera and Innergex will work together to advance the project in the environmental assessment process and to continue consultation with Finavera's First Nation partners.
