Recurrent Energy Secures $183 M in Project Financing and Tax Equity for Merchant Storage Project in Texas

Recurrent Energy, a subsidiary of Canadian Solar Inc. ("Canadian Solar") (NASDAQ: CSIQ) and a global developer, owner, and operator of solar and energy storage assets, announced today that it has closed project financing and tax equity for its Fort Duncan Storage project. The 200 MWh storage project, located in Maverick County, Texas, is currently under construction and is expected to be commercially 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 $112 million. Recurrent Energy also executed a $71 million tax equity partnership with Greenprint Capital.

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 Texas grid more reliable and resilient. Thank you to our partners at Nord/LB and Greenprint for their innovative partnership on these transactions. We are pleased to support the growing Texas economy with infrastructure that improves reliability and supports the use of low-cost renewable energy."

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.