Gore Street Energy Storage Fund (LSE:GSF) has refinanced its 200 MW / 400 MWh Big Rock battery energy storage project in California through a new approximately $52.4 million debt facility with First Citizens Bank.
The new financing comprises a five-year term loan and letter of credit facility and replaces the project’s previous $60 million facility.
Gore Street said the refinancing has been secured at a lower cost of debt than the previous arrangement.
The term loan is partially amortising, with a balloon payment due at maturity. According to the company, the financing has been structured based on Big Rock’s cash flows following nearly a year of operations.
The company said the transaction is consistent with its policy of maintaining borrowings below 30% of gross asset value and forms part of its wider efforts to reduce costs across its portfolio.
Management said the refinancing reflects Big Rock’s move into a more established operational phase and represents progress in reducing portfolio financing costs.
The Big Rock facility has a capacity of 200 MW and energy storage capacity of 400 MWh.
About Gore Street Energy Storage Fund
Gore Street Energy Storage Fund is a specialist investment company focused on grid-scale energy storage assets.
The company invests in and operates battery storage facilities designed to provide flexibility and other services to electricity networks.
Its portfolio includes the Big Rock project in California, which is held through subsidiary Big Rock ESS Assets LLC.
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