Repsol and Stonepeak form US renewables partnership
Published by Jessica Casey,
Editor
Energy Global,
Repsol will be joining forces with Stonepeak as its first partner in a portfolio of renewable assets in the US. Stonepeak, a leading alternative investment firm specialising in infrastructure and real assets, has agreed to invest US$340 million to acquire a 46.3% stake from Repsol in a 777 MW operating solar and storage portfolio located in New Mexico and Texas. Together with the US$60 million in tax equity previously raised (through Investment Tax Credits, ITC), this transaction values the portfolio of solar plants and batteries at approximately US$795 million.
The portfolio includes the Frye solar project and the Jicarilla solar and storage complex. Completed in 2024 and located near the town of Kress in Swisher County, Texas, Frye represents Repsol’s largest photovoltaic plant in operation to date with an installed capacity of 632 MW. The Jicarilla solar and storage complex is located in Rio Arriba County, New Mexico, and has an installed solar capacity of 125 MW and a battery storage project of 20 MW/80 MWh. All of the projects have entered into long-term revenue contracts as part of the multi-energy company's strategy to ensure the long-term profitability of the portfolio.
With this transaction, Repsol is advancing the optimisation of the financial structure of its renewable business with partners joining the assets to maximise value generation.
“We are very proud to start a partnership with Stonepeak in our first renewable asset rotation in the US market,” said João Costeira, Executive Managing Director of Low Carbon Generation at Repsol. “Once again, our portfolio has confirmed its attractiveness to leading investors, validating our strategy on renewables.”
Anthony Borreca, Senior Managing Director at Stonepeak, added: “This investment represents another important step in delivering much-needed cost effective and sustainable electricity to our domestic power grid at a time when communities need it most. Repsol is an extremely well-respected company globally, and we look forward to deepening our partnership with them in the coming years.”
This is the sixth asset rotation that Repsol has completed since November 2021. The company has also established alliances with Crédit Agricole Assurances and EIP in the renewable generation business to boost its growth.
The transaction is expected to close during 3Q25, subject to customary regulat-ry approvals. Nomura Greentech served as exclusive financial advisor and Latham & Watkins served as legal counsel to Repsol. Greenhill & Co., LLC, a Mizuho affiliate, served as the exclusive financial advisor and Vinson & Elkins LLP acted as legal counsel to Stonepeak.
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Read the article online at: https://www.energyglobal.com/solar/01052025/repsol-and-stonepeak-form-us-renewables-partnership/
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