Universal Kraft Canada Renewables, a joint venture between Korkia and Universal Kraft, has secured an initial US$15 million commitment credit facility, which can be expanded up to US$50 million. The funds will support the development of solar projects totaling 1,700 MW in Alberta, Canada.
The credit facility, provided by American asset-based lender Crayhill Capital Management, will specifically address the company's Generator Unit Owner Contribution (GUOC) requirements. The GUOC, a refundable payment required by the Alberta Electric System Operator (AESO), incentivizes power generation construction close to existing transmission capacity and is refunded over time based on generator size, location, and performance.
Daniela Louback, head of Canadian business development at Universal Kraft, commented on the development: “The successful closing of this transaction validates the quality of our development work and portfolio, ensuring interconnection for our advanced projects. This achievement supports our portfolio's growth and strategically positions us to meet the anticipated rise in renewable energy demand once we get past the market reforms.”
Kristina Sweet, country manager for Korkia in Canada, added: “This strategic move underscores the company's deep capabilities to bring meaningful and innovative solutions to market amidst a backdrop of significant reforms. With Crayhill's support, we are well-positioned to accelerate the development of our projects, further cementing our contribution to Alberta's renewable energy market.”
This agreement signals a continued commitment to renewable energy expansion in Alberta, with the joint venture aiming to contribute significantly to the province's growing solar energy sector.
