Longueuil, Quebec Innergex Renewable Energy Inc. and the Cayoose Creek Band announced December 16 that they have entered into an agreement for the joint acquisition of the Walden North Hydroelectric project near Lillooet, British Columbia.
Innergex and Cayoose Creek Development Corp., the economic arm of Cayoose Creek Band, have formed a limited partnership to jointly acquire the assets of the Walden project from FortisBC for $9.2 million. The closing of the acquisition is subject to customary conditions, and set to be completed within the first quarter of 2016.
The Walden North Hydroelectric project is a 16 MW facility located on private land in Cayoosh Creek near Lillooet, in British Columbia. The project consists of a run-of-river hydro plant diverting flow from the Cayoosh Creek through a 250 m power tunnel and 100 m penstock, to five Litostroj horizontal Francis turbines. The facility was commissioned and has been in operation since 1993, and all the electricity it produces is sold to BC Hydro. The Walden facility is expected to generate annual revenues of approximately $2.2 million in 2016, and Adjusted EBITDA of $1.1 million.
“We are very pleased to share the news of this acquisition because it not only strengthens our already well-established presence in BC, but it also represents another great example of a successful partnership with a First Nation, something that is at the heart of our business model. We look forward to a fruitful relationship with this new partner” says Innergex CEO Michel Letellier.
Cayoose Creek Band, or Sekw’el’was, is nestled in the middle of the Fraser Canyon, just south of Lillooet, BC on Highway 99. Sekw’el’was is known as a gathering place for many neighboring nations. Sekw’el’was is a member of St’at’imc and the Lillooet Tribal Council.