ArcLight Infrastructure Partners has announced the launch of SkyVest Renewables, an initiative focused on operating and optimizing renewable energy assets, alongside the acquisition of a 160MW operating wind farm in Texas. SkyVest aims to apply best practices in management and operations to wind and solar infrastructure investments.
ArcLight has committed an initial $500 million to SkyVest, which will leverage this capital to enhance the operational and commercial strategies of its assets. The recently acquired wind farm in the Midland Basin, which began commercial operations in 2020, marks the first investment under this initiative.
SkyVest will target utility-scale wind and solar assets across North America, with a focus on generating significant near-term cash flow while mitigating downside risks through operational, technical, commercial, financial, and redevelopment best practices. The initiative will also bolster ArcLight's existing in-house operations capabilities, including asset management, data analytics, and project risk management.
“ArcLight has a deep history of investing in renewables dating back to our first fund, focused on bringing operating excellence, innovation, power expertise, and brownfield development skills to drive value and mitigate risk,” said ArcLight managing partner Dan Revers. “SkyVest augments our existing in-house capabilities to implement these value-added levers.”
SkyVest is led by a team of experienced executives, including President Michael Murphy and Chief Financial Officer Michael Current, with additional support from senior advisors and board members such as Mark Albenze, Tom Kiernan, and Scott Hall. Murphy expressed enthusiasm about the partnership with ArcLight, noting the firm's long-standing expertise in renewable infrastructure investments.
ArcLight Partner Carter Ward highlighted the evolving needs of the renewables sector, stating, “As the renewables sector continues to grow and mature, the operational and commercial requirements are changing, which in turn creates the opportunity to apply a value-add skill set compared to the ‘growth-at-all-cost' orientation of the past.”
Ward added that SkyVest has the potential to become a leading operator of wind and solar assets in the US, building on the success of ArcLight's previous renewable investments, including Leeward, TerraGen, and Great River Hydro.
