SYS-CON MEDIA Authors: Pat Romanski, Elizabeth White, PagerDuty Blog, Michael Jannery, Liz McMillan

News Feed Item

Project Gemini Mandates Commercial Lenders

EUR 1,094 million in commercial debt fully subscribed

AMSTERDAM, THE NETHERLANDS -- (Marketwired) -- 01/29/14 -- Project Gemini is pleased to announce that it has received commitments for EUR 1,094 million in senior secured construction and term debt from 10 international commercial banks and Export Development Canada (EDC).

Project Gemini is a 600 MW offshore wind farm in the Dutch North Sea, developed by Typhoon Offshore B.V., that, subject to the approval of each sponsor's board, will be owned by Northland Power Inc. (60%), Siemens Financial Services (SFS - 20%), Van Oord Dredging and Marine Contractors BV (10%), and N.V. HVC, a joint venture of 48 Dutch municipalities and six water regulatory authorities (10%). In association with a EUR 500 million facility expected to be provided by the European Investment Bank and export credit cover under negotiation and subject to credit approval with three European export credit agencies (Denmark's EKF, Germany's Euler Hermes and Belgium's Delcredere-Ducroire), the EUR 1,094 million of commercial bank risk commitments completes the up to EUR 2,226 million of senior debt required by Project Gemini.

Project Gemini has executed mandate letters appointing eight banks as Mandated Lead Arrangers. These are Dutch bank ABN AMRO Bank N.V., France's BNP Paribas and Natixis, Japan's The Bank of Tokyo-Mitsubishi UFJ, Ltd and Sumitomo Mitsui Banking Corporation, and Canada's Export Development Canada, CIBC World Markets plc and Bank of Montreal. Spain's Banco Santander SA and CaixaBank SA have been appointed as Mandated Arrangers. Of the mandated banks, the Gemini project team appointed SMBC as Facility Agent and ECA Agent and ABN AMRO as Account Bank and LC Issuing Bank. BNP Paribas will act as Documentation Bank, BTMU as Technical bank, Natixis as Market Due Diligence Bank and Santander as Insurance Bank.

Late last year, the Gemini project team announced that the Danish pension group PKA and Northland Power, the lead equity sponsor in Gemini, will fund the EUR 200 million subordinated loan layer. With the subordinated debt and senior debt now lined up, the Gemini project team is now negotiating the final details of the transaction.

The financing will be, by far, the largest ever to be closed in the wind sector and Project Gemini is very pleased to be supported by such a strong bank group. The substantial underwriting commitments obtained underline the willingness of the banking market to provide non-recourse construction finance to the offshore wind sector for well-structured projects, and signal a new era where underwritings can be available for the industry.

The wind farm is expected to reach commercial operations in the summer of 2017.

Project Gemini is advised by Green Giraffe Energy Bankers (financial advisor), Clifford Chance LLP, Amsterdam (legal advisor), AON Risk Solutions (risk management and insurance), Loyens & Loeff (tax) and Chatham Financial (hedging). The lenders are advised by Mott MacDonald (technical), Allen & Overy (legal), Poyry Management Consulting (market), Benatar & Co Ltd (insurance), and Corality Financial Group (model audit). Additionally, the EIB is advised by Freshfields Bruckhaus Deringer LLP (legal), EKF and Delcredere-Ducroire are advised by Kromann Reumert (legal), and Euler Hermes supported by EY/AHB acting as independent Chartered Auditor for the Federal German Government).

About Gemini

Project Gemini is the 600 MW offshore wind farm to be located 55 kilometres north of the island of Schiermonnikoog in the Dutch North Sea. In 2009, the Dutch authorities ("Rijkswaterstaat") granted Wbr permits for the future offshore wind farms Buitengaats (300 MW) and ZeeEnergie (300 MW). Buitengaats and ZeeEnergie were each granted a subsidy (SDE) by the Dutch Government in May 2010 and are currently in the process of being brought to financial close. The total 600 MW of installed capacity will produce 2.6 TWh annually, enough electricity for over 785,000 households or 1,540,000 inhabitants per annum. This is almost equivalent to the number of people living in the 3 northern provinces of the Netherlands and is equivalent to a reduction in emissions of 1,250,000 tons of CO2 per year.

Northland intends to acquire 60% of the shares in Gemini, SFS intends to acquire 20%, Van Oord Dredging and Marine Contractors B.V. and N.V. HVC will each acquire 10%. The total sponsor equity capital required is close to EUR500 million of the total construction costs of EUR2.8 billion. The ultimate investment by the Sponsors is subject to approval by their respective Boards of Directors, and to reaching "financial close", i.e. completing the arrangements with the banks to finance the project.

About HVC

HVC is a sustainable waste and energy company owned by and working for public authorities. HVC holds a 10% stake in Gemini. The energy produced benefits the shareholders, 48 municipalities and six regional water boards in 4 Dutch provinces; North Holland, South Holland, Flevoland and Friesland. HVC regards its investments in offshore wind farms as a logical public-interest investment in renewable energy. HVC's share in this operation is expected to generate sufficient energy to supply approximately 100,000 households with electricity and produce carbon dioxide savings of more than 125,000 tonnes a year.

About Northland Power

Northland is an independent power producer founded in 1987, and publicly traded since 1997. Northland develops, builds, owns and operates facilities producing 'clean' (natural gas) and 'green' (wind, solar, and hydro) energy, providing sustainable long-term value to shareholders, stakeholders, and host communities. The company owns or has a net economic interest in 1,329 MW of operating generating capacity, with an additional 90 MW (60 MW net to Northland) of generating capacity currently in construction, and another 190 MW (119 MW net to Northland) of wind, solar and run-of-river hydro projects with awarded power contracts. In addition, Northland has acquired the rights to a majority equity stake in Gemini. Northland's cash flows are diversified over five geographically separate regions and regulatory jurisdictions in Canada, Europe and the United States.

Northland's common shares, Series 1 and Series 3 preferred shares and convertible debentures trade on the Toronto Stock Exchange under the symbols NPI, NPI.PR.A, NPI.PR.C and NPI.DB.A, respectively.

About Siemens Financial Services

The Financial Services unit of Siemens (SFS) is an international provider of business-to-business financial solutions. SFS helps facilitate investments, providing commercial finance, project and structured finance with specific asset expertise in the energy, healthcare, industry, and infrastructure & cities markets. Employing more than 3,000 employees worldwide, SFS supports Siemens as well as other companies with their capital needs and acts as an expert manager of financial risks within the Siemens company. By leveraging its financing expertise and industrial know-how SFS creates value for its customers and helps them strengthen their competitiveness. Beyond that, financing is key in creating trust for technological solutions - and acts as a key enabler when it comes to the market launch. As of September 30, 2013, the total assets amounted to EUR18.7 billion.

About Van Oord

Van Oord marine ingenuity is a leading international EPC contractor which specializes in dredging, marine engineering and offshore (oil, gas and wind) construction. Van Oord will make an important contribution to the development and construction of the offshore wind park Gemini in its role as EPC (Engineering, Procurement and Construction) contractor. Van Oord has a successful track record in building offshore wind parks in north western Europe. With the construction of the Dutch Princess Amalia wind park, the Belwind Phase 1 offshore wind park in Belgium, and the Teesside Offshore wind park off the northeast coast of England, Van Oord has established a reputation as all round EPC contractor.

Van Oord invested in an innovative and advanced offshore wind farm installation vessel called Aeolus. The Aeolus is 139 m long, 38m wide and fitted with a crane capable of hoisting 900 tons at 30 meter radius. The vessel will be deployed at the Gemini project.

More Stories By Marketwired .

Copyright © 2009 Marketwired. All rights reserved. All the news releases provided by Marketwired are copyrighted. Any forms of copying other than an individual user's personal reference without express written permission is prohibited. Further distribution of these materials is strictly forbidden, including but not limited to, posting, emailing, faxing, archiving in a public database, redistributing via a computer network or in a printed form.

Latest Stories
15th Cloud Expo, which took place Nov. 4-6, 2014, at the Santa Clara Convention Center in Santa Clara, CA, expanded the conference content of @ThingsExpo, Big Data Expo, and DevOps Summit to include two developer events. IBM held a Bluemix Developer Playground on November 5 and ElasticBox held a Hackathon on November 6. Both events took place on the expo floor. The Bluemix Developer Playground, for developers of all levels, highlighted the ease of use of Bluemix, its services and functionalit...
"ElasticBox is an enterprise company that makes it very easy for developers and IT ops to collaborate to develop, build and deploy applications on any cloud - private, public or hybrid," stated Monish Sharma, VP of Customer Success at ElasticBox, in this SYS-CON.tv interview at DevOps Summit, held Nov 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA.
"For the past 4 years we have been working mainly to export. For the last 3 or 4 years the main market was Russia. In the past year we have been working to expand our footprint in Europe and the United States," explained Andris Gailitis, CEO of DEAC, in this SYS-CON.tv interview at Cloud Expo, held Nov 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA.
The Internet of Things will greatly expand the opportunities for data collection and new business models driven off of that data. In her session at @ThingsExpo, Esmeralda Swartz, CMO of MetraTech, discussed how for this to be effective you not only need to have infrastructure and operational models capable of utilizing this new phenomenon, but increasingly service providers will need to convince a skeptical public to participate. Get ready to show them the money!
The Industrial Internet revolution is now underway, enabled by connected machines and billions of devices that communicate and collaborate. The massive amounts of Big Data requiring real-time analysis is flooding legacy IT systems and giving way to cloud environments that can handle the unpredictable workloads. Yet many barriers remain until we can fully realize the opportunities and benefits from the convergence of machines and devices with Big Data and the cloud, including interoperability, ...
At 15th Cloud Expo, Shrikant Pattathil, Executive Vice President at Harbinger Systems, demos a video delivery platform that helps you do interactive videos. He discusses how Harbinger is accomplishing it in the cloud world, the problems they faced and the choices they made to get around these problems.
“DevOps is really about the business. The business is under pressure today, competitively in the marketplace to respond to the expectations of the customer. The business is driving IT and the problem is that IT isn't responding fast enough," explained Mark Levy, Senior Product Marketing Manager at Serena Software, in this SYS-CON.tv interview at DevOps Summit, held Nov 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA.
“The year of the cloud – we have no idea when it's really happening but we think it's happening now. For those technology providers like Zentera that are helping enterprises move to the cloud - it's been fun to watch," noted Mike Loftus, VP Product Management and Marketing at Zentera Systems, in this SYS-CON.tv interview at Cloud Expo, held Nov 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA.
The 3rd International Internet of @ThingsExpo, co-located with the 16th International Cloud Expo - to be held June 9-11, 2015, at the Javits Center in New York City, NY - announces that its Call for Papers is now open. The Internet of Things (IoT) is the biggest idea since the creation of the Worldwide Web more than 20 years ago.
Want to enable self-service provisioning of application environments in minutes that mirror production? Can you automatically provide rich data with code-level detail back to the developers when issues occur in production? In his session at DevOps Summit, David Tesar, Microsoft Technical Evangelist on Microsoft Azure and DevOps, will discuss how to accomplish this and more utilizing technologies such as Microsoft Azure, Visual Studio online, and Application Insights in this demo-heavy session.
Entuity®, a provider of enterprise-class network management solutions, today announced that it solidifies its position as a market leader through global enterprise customer acquisitions and a refined channel strategy. In 2014, Entuity increased new license revenues in EMEA by over 75 percent, and LATAM by over 125 percent as customers embraced Entuity for its highly automated solution and unified architecture. Entuity’s refined channel strategy focuses on even deeper strategic alignment with ke...
We are all here because we are sold on the transformative promise of The Cloud. But what good is all of this ephemeral, on-demand infrastructure if your usage doesn't actually improve the agility and speed of your business? How must Operations adapt in order to avoid stifling your Cloud initiative? In his session at DevOps Summit, Damon Edwards, co-founder and managing partner of the DTO Solutions, will highlight the successful organizational, process, and tooling patterns of high-performing c...
The 4th International DevOps Summit, co-located with16th International Cloud Expo – being held June 9-11, 2015, at the Javits Center in New York City, NY – announces that its Call for Papers is now open. Born out of proven success in agile development, cloud computing, and process automation, DevOps is a macro trend you cannot afford to miss. From showcase success stories from early adopters and web-scale businesses, DevOps is expanding to organizations of all sizes, including the world's large...
Cloud Expo 2014 TV commercials will feature @ThingsExpo, which was launched in June, 2014 at New York City's Javits Center as the largest 'Internet of Things' event in the world.
“We help people build clusters, in the classical sense of the cluster. We help people put a full stack on top of every single one of those machines. We do the full bare metal install," explained Greg Bruno, Vice President of Engineering and co-founder of StackIQ, in this SYS-CON.tv interview at 15th Cloud Expo, held Nov 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA.