Recurrent Energy Secures $183 Million in Project Financing and Tax Equity for Merchant Storage Project in Texas
Recurrent Energy, a subsidiary of Canadian Solar (NASDAQ: CSIQ), has secured $183 million in project financing and tax equity for its Fort Duncan Storage project in Texas. The financing includes $112 million from Nord/LB for construction, term loan, and facilities, plus a $71 million tax equity partnership with Greenprint Capital.
The 200 MWh storage project, located in Maverick County, will operate on a merchant basis in the ERCOT grid. The facility will store and dispatch power equivalent to serving up to 66,100 households during a two-hour cycle. Currently under construction by Burns & McDonnell, the project will employ 75 workers at peak construction and is expected to be operational by Summer 2025.
The project aims to support ERCOT's peak power demand and enhance grid reliability, particularly as Texas experiences increased power demand from economic growth and AI-driven consumption. e-STORAGE is supplying the energy storage systems, and the project will generate millions in tax revenue for local community services.
Recurrent Energy, una filiale di Canadian Solar (NASDAQ: CSIQ), ha ottenuto 183 milioni di dollari in finanziamenti per progetti e capitale fiscale per il suo progetto di Fort Duncan Storage in Texas. Il finanziamento include 112 milioni di dollari da Nord/LB per la costruzione, prestiti a termine e strutture, oltre a una partnership di capitale fiscale di 71 milioni di dollari con Greenprint Capital.
Il progetto di stoccaggio da 200 MWh, situato nella Contea di Maverick, opererà su base commerciale nella rete ERCOT. L'impianto immagazzinerà e distribuirà energia equivalente a servire fino a 66.100 famiglie durante un ciclo di due ore. Attualmente in costruzione da Burns & McDonnell, il progetto impiegherà 75 lavoratori durante il picco della costruzione e si prevede che diventi operativo entro l'estate del 2025.
Il progetto mira a supportare la domanda di picco di energia di ERCOT e a migliorare l'affidabilità della rete, soprattutto mentre il Texas sperimenta un aumento della domanda di energia a causa della crescita economica e del consumo guidato dall'IA. e-STORAGE fornisce i sistemi di stoccaggio dell'energia e il progetto genererà milioni di dollari in entrate fiscali per i servizi della comunità locale.
Recurrent Energy, una subsidiaria de Canadian Solar (NASDAQ: CSIQ), ha obtenido 183 millones de dólares en financiamiento de proyectos y capital fiscal para su proyecto de Fort Duncan Storage en Texas. El financiamiento incluye 112 millones de dólares de Nord/LB para construcción, préstamo a término y facilidades, además de una asociación de capital fiscal de 71 millones de dólares con Greenprint Capital.
El proyecto de almacenamiento de 200 MWh, ubicado en el Condado de Maverick, operará en base comercial en la red ERCOT. La instalación almacenará y despachará energía equivalente a servir hasta 66,100 hogares durante un ciclo de dos horas. Actualmente en construcción por Burns & McDonnell, el proyecto empleará a 75 trabajadores en el pico de construcción y se espera que esté operativo para verano de 2025.
El proyecto tiene como objetivo apoyar la demanda de energía máxima de ERCOT y mejorar la confiabilidad de la red, especialmente a medida que Texas experimenta un aumento en la demanda de energía debido al crecimiento económico y al consumo impulsado por la IA. e-STORAGE está suministrando los sistemas de almacenamiento de energía y el proyecto generará millones en ingresos fiscales para los servicios comunitarios locales.
Recurrent Energy는 Canadian Solar (NASDAQ: CSIQ)의 자회사로, 텍사스의 Fort Duncan Storage 프로젝트를 위해 1억 8천 3백만 달러의 프로젝트 자금 및 세금 자본을 확보했습니다. 이 자금은 건설, 기간 대출 및 시설을 위해 Nord/LB로부터 1억 1천 2백만 달러를 포함하며, Greenprint Capital과의 7천 1백만 달러의 세금 자본 파트너십이 포함됩니다.
200 MWh 저장 프로젝트는 매버릭 카운티에 위치하며 ERCOT 그리드에서 상업적으로 운영될 것입니다. 이 시설은 2시간 주기 동안 최대 66,100 가구에 전력을 공급할 수 있는 전력을 저장하고 전송합니다. 현재 Burns & McDonnell에 의해 건설 중이며, 프로젝트는 건설 피크 시 75명의 근로자를 고용할 예정이며 2025년 여름까지 운영될 것으로 예상됩니다.
이 프로젝트는 ERCOT의 전력 피크 수요를 지원하고 그리드 신뢰성을 향상시키는 것을 목표로 하며, 특히 텍사스가 경제 성장과 AI 기반 소비로 인해 전력 수요가 증가하고 있습니다. e-STORAGE는 에너지 저장 시스템을 제공하며, 이 프로젝트는 지역 사회 서비스에 대한 세수 수익을 수백만 달러 생성할 것입니다.
Recurrent Energy, une filiale de Canadian Solar (NASDAQ: CSIQ), a sécurisé 183 millions de dollars de financement de projet et de capital fiscal pour son projet de Fort Duncan Storage au Texas. Le financement comprend 112 millions de dollars de Nord/LB pour la construction, le prêt à terme et les installations, ainsi qu'un partenariat de capital fiscal de 71 millions de dollars avec Greenprint Capital.
Le projet de stockage de 200 MWh, situé dans le comté de Maverick, fonctionnera sur une base commerciale dans le réseau ERCOT. L'installation stockera et distribuera de l'énergie équivalente à alimenter jusqu'à 66 100 foyers pendant un cycle de deux heures. Actuellement en construction par Burns & McDonnell, le projet emploiera 75 travailleurs au pic de construction et devrait être opérationnel d'ici été 2025.
Le projet vise à soutenir la demande de pointe en électricité d'ERCOT et à améliorer la fiabilité du réseau, notamment alors que le Texas connaît une augmentation de la demande d'énergie due à la croissance économique et à la consommation alimentée par l'IA. e-STORAGE fournit les systèmes de stockage d'énergie, et le projet générera des millions de dollars de revenus fiscaux pour les services communautaires locaux.
Recurrent Energy, eine Tochtergesellschaft von Canadian Solar (NASDAQ: CSIQ), hat 183 Millionen Dollar an Projektfinanzierung und Steuergeldern für ihr Fort Duncan Storage-Projekt in Texas gesichert. Die Finanzierung umfasst 112 Millionen Dollar von Nord/LB für Bau, Terminkredite und Einrichtungen sowie eine Partnerschaft über 71 Millionen Dollar an Steuergeldern mit Greenprint Capital.
Das 200 MWh Speicherprojekt, das im Maverick County liegt, wird auf kommerzieller Basis im ERCOT-Netz betrieben. Die Einrichtung wird Energie speichern und bereitstellen, die ausreicht, um bis zu 66.100 Haushalte während eines zwei Stunden dauernden Zyklus zu versorgen. Derzeit wird das Projekt von Burns & McDonnell gebaut, es werden 75 Arbeiter in der Spitzenbauzeit beschäftigt und es wird erwartet, dass es bis Sommer 2025 betriebsbereit ist.
Das Projekt zielt darauf ab, die Spitzenstromnachfrage von ERCOT zu unterstützen und die Zuverlässigkeit des Netzes zu verbessern, insbesondere da Texas einen Anstieg der Stromnachfrage aufgrund des wirtschaftlichen Wachstums und des KI-gesteuerten Verbrauchs erlebt. e-STORAGE liefert die Energiespeichersysteme, und das Projekt wird Millionen an Steuereinnahmen für lokale Gemeinschaftsdienste generieren.
- Secured substantial $183M financing through project financing and tax equity
- Project will generate millions in tax revenue for local community
- Strategic positioning in ERCOT market to capture peak power demand
- Merchant operation model allows flexible market-based revenue generation
- Large-scale 200 MWh capacity serving 66,100 households
- Project completion and revenue generation delayed until Summer 2025
- Merchant basis operation exposes to market price volatility risks
Insights
Canadian Solar's subsidiary Recurrent Energy has secured
The 200 MWh merchant storage project represents a strategic positioning in the ERCOT market, where power demand is growing rapidly due to economic expansion and AI-driven electricity consumption. The merchant operating model (as opposed to contracted) allows Recurrent to capitalize on price volatility in the Texas grid—potentially yielding higher returns during peak demand periods when electricity prices spike.
This transaction is particularly material given Canadian Solar's
The project's summer 2025 operational timeline aligns perfectly with ERCOT's peak demand season, positioning it to generate immediate value upon completion. With capacity equivalent to serving 66,100 households, Fort Duncan represents a meaningful addition to Recurrent's portfolio and ERCOT's grid stability resources. The successful financial close also reduces execution risk and demonstrates Canadian Solar's ability to bring complex storage projects to fruition in the current capital market environment.
The Fort Duncan Storage project represents a strategically timed entry into the evolving ERCOT market dynamics. The 200 MWh battery system will operate as a merchant asset—meaning it will buy low and sell high based on real-time price signals rather than relying on fixed contracts. This approach carries more short-term price risk but offers substantially higher upside potential in the volatile Texas market.
This project capitalizes on three converging trends in ERCOT: increased renewable penetration creating price volatility, surging electricity demand from AI and data centers, and reliability concerns following previous grid failures. Battery storage assets increasingly serve as the stability mechanism bridging these market forces.
The financing structure employs sophisticated capital stacking—combining traditional project finance with tax equity to optimize returns. This demonstrates Recurrent's financial sophistication in navigating complex energy infrastructure financing. The involvement of specialized financiers Nord/LB (with specific ERCOT knowledge) and Greenprint (a tax equity specialist) indicates strong market validation.
From a grid perspective, Fort Duncan's ability to discharge over a two-hour duration hits the sweet spot for ERCOT's current needs—long enough to address peak demand periods but not overbuilt for longer duration requirements that don't yet command premium pricing. This positions the asset for optimal revenue capture in the current market structure while supporting essential grid services during Texas's increasingly challenging summer peaks.
200 MWh Fort Duncan Storage is under construction and is expected to be operational by Summer 2025 to support ERCOT's peak power demand
Nord/LB led the project financing, which includes a construction and term loan, a tax equity bridge loan, and a letter of credit facility totaling
Ismael Guerrero, CEO of Recurrent Energy, said, "As Texas adds record amounts of generation to support economic growth and AI-driven demand, energy infrastructure projects like Fort Duncan Storage are making the
Sondra Martinez, Managing Director, said, "Nord/LB is excited to have supported Recurrent Energy on the Fort Duncan financing. This transaction highlights the longstanding relationship between our firms and our ability to work together on creative financing structures to advance our shared commitment to the clean energy transition. Nord/LB is proud to be a trusted partner, leveraging our ERCOT market knowledge and battery storage expertise, to bring this transaction to a successful close."
Peter DeFazio, Managing Partner of Greenprint Capital, said, "The Fort Duncan Storage project exemplifies how strategic investments in clean energy infrastructure can enhance grid reliability while generating strong financial returns. By leveraging tax equity, we're enabling innovative energy solutions that support a more resilient and self-sufficient ERCOT grid. We are proud to partner with Recurrent Energy on this milestone project, reinforcing our commitment to accelerating the clean energy transition through scalable, high-impact investments."
Fort Duncan Storage will operate on a merchant basis, storing and dispatching power to the ERCOT grid in response to market demand. The electricity stored and delivered during a two-hour cycle of the project will be equivalent to serving up to 66,100 households. Fort Duncan Storage, which will be owned and operated by Recurrent Energy, will provide millions of dollars in tax revenue for the local community services.
e-STORAGE is supplying the energy storage systems for Fort Duncan Storage. Burns & McDonnell is currently constructing the project, which will employ 75 workers on site at peak construction.
About Recurrent Energy
Recurrent Energy, a subsidiary of Canadian Solar Inc., is one of the world's largest and most geographically diversified utility-scale solar and energy storage project development, ownership, and operations platforms. With an industry-leading team of in-house energy experts, Recurrent Energy serves as Canadian Solar's global development and power services business. To date, Recurrent Energy has successfully developed, built, and connected 11 GWp of solar projects and 3 GWh of energy storage projects across six continents. As of December 2024, its project development pipeline includes over 27 GWp of solar and 68 GWh of energy storage capacity.
About Greenprint Capital
Greenprint Capital is an investment and advisory firm specializing in clean energy tax credit investments. The firm focuses on efficiently managing and deploying capital into climate-positive energy infrastructure projects, aiming to balance financial returns, reduce tax liabilities, and achieve sustainable impact. By acquiring and structuring investments in renewable energy projects, Greenprint enables co-investors, lenders, and tax credit purchasers to participate in these opportunities. Learn more at greenprintcapital.com.
About Canadian Solar Inc.
Canadian Solar is one of the world's largest solar technology and renewable energy companies. Founded in 2001 and headquartered in Ontario,
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