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Clearway Energy Group announced today the closing of financing and the commencement of repowering construction at its Cedro Hill wind farm in Webb County, Texas. The repowering project will boost Cedro Hill’s capacity from 150 MW to 160 MW. Upon completion, the enhanced facility will generate enough electricity to power nearly 40,000 homes during peak hours.
Chris Fox, Senior Vice President of Construction at Clearway Energy Group, stated, “Our Cedro Hill repowering is our most recent example of how Clearway is upgrading its sizeable existing fleet to deploy resilient, state-of-the-art technology on sites that have proven, high-quality wind resources. As a long-term owner and operator, we are pleased that repowerings like Cedro Hill deliver decades of more value for our local landowners and communities.”
This project marks Clearway’s fifth wind farm repower in Texas and sixth across its portfolio, bringing over 700 MW of upgrades to deploy cutting-edge technology on sites with robust wind resources.
The Cedro Hill repower represents a $269 million investment in South Texas. Upon completion, the project will extend the wind farm’s operating life by another fifteen years, contributing an additional $27 million in property taxes and landowner payments to Webb County.
The repowering effort will involve replacing the blades and nacelles with General Electric (GE) equipment across the site’s 100 turbines. Clearway, in collaboration with Wanzek Construction, Inc., a MasTec Renewables company, will ensure responsible management of all replaced equipment, with a focus on recycling materials such as fiberglass. The construction phase will employ over 200 skilled laborers.
Originally built and commissioned in 2010, Cedro Hill’s power is sold under a long-term power purchase agreement with CPS Energy, the largest municipal electric and gas utility in the United States, serving San Antonio, Texas. As part of the repowering, CPS Energy has extended its existing agreement, reinforcing its commitment to expanding its renewable energy portfolio and continuing to benefit from 100% of the power generated by Cedro Hill.
To finance the repowering, Clearway secured $261 million in construction, term loan, and letter of credit facilities from a consortium of banks, including DNB Markets, Inc. (DNB), Canadian Imperial Bank of Commerce, New York Branch (CIBC), National Australia Bank Limited (NAB), and Deutsche Zentral-Genossenschaftsbank, New York branch (DZ).
Brendon Lamppa, Director of Construction at MasTec Renewables, commented, “MasTec Renewables is looking forward to another successful project with Clearway Energy Group. This will be the third overall, but the first repower project that the teams will have worked together on. This is a unique opportunity given the fact that MasTec Renewables’ legacy personnel performed the original build in 2010. The repower aspect also brings a recycling component into the equation. All 100 existing hubs and 300 existing blades will be removed, cut on-site, and shipped to a recycling facility to be processed for beneficial reuse.”
