TORONTO, May 11, 2012 /CNW/ - Riverbank Power Corporation ("Riverbank Power" or the "Company"), a developer of pumped storage and run-of-river hydro generation assets, today announced that it has closed a $26 million non-recourse debt and a $12 million sub-debt financing to fund construction for its 7.5 MW Dorena Lake in Oregon and 4.7 MW Clark Canyon in Montana run-of-river hydroelectric retrofit projects. The non-recourse debt financing was structured and arranged by Travelers Capital Corporation and funded by Industrial Alliance Insurance and Financial Services Inc. and the remaining financing was provided by the Infrastructure Coalition Program, an investment vehicle managed by Aquila Infrastructure Management ("Aquila").
"Closing this financing marks a significant milestone for Riverbank as we transition from developer to independent power producer," said John Douglas, President and CEO of Riverbank Power. "I am particularly proud of our team's ability to successfully work with the U.S. Army Corps of Engineers and FERC in the case of the Dorena Lake project to finalize our design and approval to commence construction."
Both projects are expected to be commissioned in 2013. The forecast annual electric output for both projects is estimated at 30 GWh, enough to provide electricity to approximately 2,000 homes.
Alina Osorio, CEO of Aquila added: "We view these projects as an important first step in a broader strategic partnership with Riverbank Power, whose capabilities and pipeline are impressive. We look forward to the successful commissioning of the Dorena Lake and Clark Canyon facilities."
"Travelers Capital is delighted to have been selected by Riverbank to arrange the construction and long terms debt financing on this unique transaction and support their renewable energy growth plans in North America," added Mark Bohn, Managing Partner of Travelers Capital Corporation. "Effectively converting existing non-power generating assets into clean renewable energy projects demonstrates the creativity and foresight that Mr. Douglas and his management team at Riverbank bring to the table."
About Riverbank Power
Founded in 2007 and based in Toronto, Canada, Riverbank Power is a developer, constructor and operator of run-of-river and pumped storage hydro generation facilities in North and South America. With offices located in Portland, Oregon, Logan, Utah, Rigby, Idaho, Toronto, Canada and Lima, Peru, Riverbank Power is well positioned to become a market leader in hydropower in North and South America. The Company's combined development capacity of 500 MW of run-of-river and over 10,000 MW of pumped storage hydro generation projects represents the largest hydro development pipeline in the World.
Additional information on Riverbank Power is available on the Company's website at www.riverbankpower.com.
About Industrial Alliance Insurance and Financial Services Inc.
Founded in 1892, Industrial Alliance Insurance and Financial Services Inc. is a life and health insurance company that offers a wide range of life and health insurance products, savings and retirement plans, RRSPs, mutual and segregated funds, securities, auto and home insurance, mortgage loans and other financial products and services.
The fourth largest life and health insurance company in Canada, Industrial Alliance is at the head of a large financial group, which has operations across Canada as well as in the United States.
Industrial Alliance's stock is listed on the Toronto Stock Exchange under the ticker symbol IAG. Industrial Alliance is among the largest public companies in Canada.
Additional information on Industrial Alliance is available on the company's website at www.inalco.com.
About Aquila and the Infrastructure Coalition Program
Aquila is located in Toronto and was established in 2009 as a full service investment management services firm focused solely on the infrastructure sector. It delivers tailored investment solutions that provide enhancements over traditional fund models.
Aquila's flagship fund is the Infrastructure Coalition Program, a closed-end investment vehicle with a mandate to invest in all infrastructure subsectors, in OECD countries globally. The Program represents an innovative departure from other private investment vehicles in a number of ways, including the ability to provide greater alignment for investors.
Additional information about Aquila Infrastructure is available on the company's website at www.theaquilagroup.com/infrastructure.
About Travelers Capital
Travelers Capital Corporation is a unit of Travelers Financial Corporation which is one of Canada's largest independent finance and leasing companies in Canada. Travelers Capital Corporation offers structured debt and project finance solutions to developers in the renewable energy sector with a focus on middle market transactions up to $100 million or more in size.
Additional information on Travelers is available on the company's website at www.travelerscapital.com.
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