TransAlta Renewables Inc (TSX:RNW) (OTC:TRSWF) indirect subsidiary Kent Hills Wind LP (KHLP), amended and extended its current power purchase agreements (PPAs) with New Brunswick Power Corp (NB Power) regarding Kent Hills facilities, representing total generating capacity of 167 MW.
The PPAs have been extended 10 years to December 31, 2045, and NB Power was provided with an effective 10% reduction to the current contract price until 2033.
KHLP also agreed with NB Power regarding the rehabilitation plan expected to see the site return to service in mid-2023.
KHLP notified BNY Trust Company of Canada, as trustee for the ~C$219 million outstanding non-recourse project bonds, that events of default may have occurred under the trust indenture governing the terms of the Bonds.
KHLP obtained an approved waiver of those default events and entered into a supplemental indenture that amends the Bond Indenture and facilitates the rehabilitation of the Kent Hills 1 and 2 sites.
KHLP is now moving forward with its rehabilitation plan and has entered into agreements with Bird Construction Industrial Services Ltd. and Vestas-Canadian Wind Technology, Inc to complete the rehabilitation.
Price Action: RNW shares are trading higher by 1.58% at C$17.35 on TSX, and TRSWF is higher by 1.32% at $13.76 on the last check Thursday.
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