Avangrid Renewables, LLC, a subsidiary of AVANGRID, Inc. (NYSE: AGR), reached agreement on September 13th with Axium Infrastructure to transfer 50% ownership of the Dry Lake II Wind Farm and 50% of the Copper Crossing Solar Project later this year. Avangrid Renewables developed, and currently owns and operates the two Arizona projects, with the long-term output of both projects under contract to Salt River Project (SRP).
“An experienced asset manager like Axium Infrastructure is a natural partner as we continually work to optimize our renewables assets and pipeline through strategic sales, alliances, or partnerships, and create value and new opportunities for the business,” said Avangrid Renewables’ President and CEO Laura Beane. “We look forward to expanding this partnership with future development opportunities.”
“Axium is thrilled to be partnering with Avangrid Renewables, a leading renewable energy company in the United States, in acquiring a 50% interest in these quality solar and wind assets in Arizona,” said Axium Infrastructure U.S.’ President Thierry Vandal. “We look forward to building on this transaction and growing our partnership in the coming years.”
The 65.1-megawatt Dry Lake II Wind Farm is located in Snowflake, and features 31 Suzlon S88 wind turbines. It reached commercial operation in 2010. The 20-MW Copper Crossing Solar Project is located in Florence, and features 66,000 photovoltaic modules. It reached commercial operation in 2011.
The transaction, which is subject to the satisfaction of customary closing conditions and approval by the Federal Energy Regulatory Commission, is expected to close in the 4th quarter of 2019 and involves total consideration of $112 million. Transfer of control of Dry Lake II is expected to occur in 2019, and transfer of control of Copper Crossing is expected to occur in 2020.
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Forward Looking Statements
Certain statements in this press release may relate to our future business and financial performance and future events or developments involving AVANGRID, Inc. (“AVANGRID”) and its subsidiaries that are not purely historical and may constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements may be identified by the use of forward-looking terms such as “may,” “will,” “should,” “would,” “could,” “can,” “expect(s,)” “believe(s),” “anticipate(s),” “intend(s),” “plan(s),” “estimate(s),” “project(s),”“assume(s),” “guide(s),” “target(s),” “forecast(s),” “are (is) confident that” and “seek(s)” or the negative of such terms or other variations on such terms or comparable terminology. Such forward looking statements include, but are not limited to, statements about our plans, objectives and intentions, outlooks or expectations for earnings, revenues, expenses or other future financial or business performance, strategies or expectations, or the impact of legal or regulatory matters on our business, results of operations or financial condition. Such statements are based upon the current reasonable beliefs, expectations and assumptions of our management and are subject to significant risks and uncertainties that could cause actual outcomes and results to differ materially. Important factors that could cause actual results to differ materially from those indicated by such forward-looking statements include, without limitation, the risks and uncertainties set forth under the section entitled “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in AVANGRID’s Annual Report on Form 10-K for the year ended December 31, 2018 and Quarterly Report on Form 10-Q for the six months ended June 30, 2019, which are on file with the U.S. Securities and Exchange Commission (SEC) and available on AVANGRID’s investor relations website at www.Avangrid.com and on the SEC website at www.sec.gov. Additional information will also be set forth in subsequent filings with the SEC. You should consider these factors carefully in evaluating for-ward looking statements. Should one or more of these risks or uncertainties materialize, or should any of the underlying assumptions prove incorrect, actual results may vary in material respects from those expressed or implied by these forward-looking statements. You should not place undue reliance on these forward-looking statements. We do not undertake any obligation to update or revise any forward-looking statements to reflect events or circumstances after the date of this presentation whether as a result of new information, future events or otherwise, except as may be required under applicable securities laws.
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About AVANGRID: AVANGRID, Inc. (NYSE: AGR) is a leading, sustainable energy company with approximately $33 billion in assets and operations in 24 U.S. states. With headquarters in Orange, Connecticut, AVANGRID has two primary lines of business: Avangrid Networks and Avangrid Renewables. Avangrid Networks owns eight electric and natural gas utilities, serving more than 3.2 million customers in New York and New England. Avangrid Renewables owns and operates a portfolio of renewable energy generation facilities across the United States. AVANGRID employs approximately 6,500 people. AVANGRID supports the U.N.’s Sustainable Development Goals and was named among the World’s Most Ethical Companies in 2019 by the Ethisphere Institute. For more information, visit www.avangrid.com.
About Avangrid Renewables: Avangrid Renewables, LLC is a subsidiary of AVANGRID, Inc. It is a leading renewable energy company in the United States, owning and operating 6.6 gigawatts of installed renewable energy capacity, primarily using wind power, with a presence in 22 U.S. states. IBERDROLA, S.A., is an energy pioneer with one of the largest renewable asset bases of any company in the world. Avangrid Renewables is headquartered in Portland, Oregon. For more information, visit www.avangridrenewables.com.
About Axium Infrastructure Inc.: Axium Infrastructure (comprised of Axium Infrastructure Inc. and its affiliated entities) is an independent portfolio management firm dedicated to generating long-term investment returns through investing in core infrastructure assets. Axium Infrastructure had US$3.2 billion in assets under management as of June 30, 2019, as well as approximately US$1.1 billion in co-investments. The firm benefits from the capabilities of a group of specialists with decades of experience acquiring, developing, financing, operating and managing infrastructure assets. Focus is placed on assets that are supported by robust market demand and under long-term contract with creditworthy counterparties. Since 2010, the firm has invested in a diversified portfolio of over 130 North American infrastructure assets. For further information, including information about other infrastructure assets the firm has invested in, please visit www.axiuminfra.com. This release is for informational purposes only and does not constitute an offer or solicitation to buy securities of any entity.