IFC to invest US$10 mln in Wind Power Project

Agreement to support the development and construction of Gansu Guazhou Ganhekou No 8 Wind farm is expected to commence by the end of 2010.

China WindPower Group Limited , an integrated wind power generation company in China,on Monday announced that on 30 June, 2010, Guazhou Xiehe Wind Power Co., Ltd., a project company invested by China WindPower, signed a long-term loan agreement of US$152 million with International Finance Corporation (IFC). On the same day, China WindPower also signed an equity subscription agreement with IFC. According to the agreement, IFC will invest US$10 million in China WindPower.

Under the agreement, the loan will support the development and construction of Gansu Guazhou Ganhekou No.8 Wind Farm which is invested by China WindPower, a China WindPower report said.

The Project is a part of Jiuquan City 10GW Wind Power Base - Phase I, which is in a desert 60 kilometers northwest away from Guazhou County of Gansu province, one of the frontier regions in western China. The total installed capacity of the project is 201MW, and the total investment is RMB1.7 billion, which includes registered capital of RMB669 million and the rest will be supplemented by IFC loan.

The project is expected to be operated by the end of 2010 with 400GWH annual power generation capacity and 400,000 tons of CO2 emission reduction capacity per year.

“The loan and equity financing will strengthen the cooperation between China WindPower and IFC, as well as extend our financing channels which will further support our rapid growth in the future,” said Mr. Liu Shunxing, Chairman and CEO of China WindPower.