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Press release from Marketwire

Northland Power Increases Its Line of Credit

Tuesday, May 31, 2011

Northland Power Increases Its Line of Credit16:40 EDT Tuesday, May 31, 2011TORONTO, ONTARIO--(Marketwire - May 31, 2011) -NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES OR ITS POSSESSIONS. ANY FAILURE TO COMPLY WITH THIS RESTRICTION MAY CONSTITUTE A VIOLATION OF U.S. SECURITIES LAW. Northland Power Inc. ("Northland") (TSX:NPI)(TSX:NPI.PR.A)(TSX:NPI.DB)(TSX:NPI.DB.A) today announced it has completed the renewal and amendment of its existing corporate credit facility with a syndicate of financial institutions led by Canadian Imperial Bank of Commerce. The facility has been increased to $250 million, up from $130 million, carries a lower interest rate than previously and the term has been extended to May 2015 with further annual renewal options. Northland Power CEO John Brace commented, "The banking community's confidence in Northland as a borrower serves as an endorsement of our stability plus growth strategy. Our prudent operating practices combined with our successful development activities have consistently generated predictable revenues and profitable growth since our founding."The syndicate of banks underwriting this expanded line of credit has been increased from six to nine lenders. Northland will use the facility for general corporate purposes and to fund equity investments and acquisitions including letters of creditABOUT NORTHLAND Northland owns or has a net economic interest in 818 MW of operating generating capacity, and 446 MW of generating capacity in advanced construction. Northland is also developing approximately 2,000 MW of additional power generation opportunities. Northland's assets comprise facilities that produce electricity from "clean" natural gas and "green" renewable sources such as wind and biomass. Electricity generation is sold under long-term PPAs with creditworthy customers, and any fuel for natural-gas-fired projects, where required, is purchased under long-term contracts to assure stability of operating margins. Three wholly-owned natural-gas-fired plants are located in Ontario: the 120 MW Iroquois Falls facility, the 110 MW Kingston facility and the 265 MW Thorold facility. Through its 19% equity interest in Panda Energy Corporation, Northland has an interest in the 230 MW Panda-Brandywine combined-cycle power plant located outside Washington, D.C. Northland owns the 127.5 MW Jardin d'Éole wind farm near Matane, Quebec, which began commercial operations in late November 2009 and sells electricity under a long- term PPA to Hydro-Québec. Northland owns two wind farms located in Germany with 21.5 MW of installed capacity with all electricity generated being supplied to local power utilities under the terms of German renewable energy legislation. Northland manages on behalf of third- party owners, and has an economic interest in two natural-gas- and biomass-fired generation facilities in Kirkland Lake and Cochrane, Ontario for which Northland earns management, gas purchase and performance incentive fees. Northland also owns a small chipping facility located on Vancouver Island and an engineering services business. Northland owns the 86 MW Spy Hill project, the 260 MW North Battleford project, the 100 MW Mont Louis wind farm and 4 roof top solar installations, all of which are under advanced construction. Northland also has an extensive portfolio of approximately 2,000 MW of projects under development, including 216 MW of wind, solar and run-of-river hydro projects awarded PPAs under the Ontario Power Authority's FIT program, and a recently awarded 20-year PPA by Hydro-Québec to build and operate a 24 MW wind farm near Frampton, Quebec. Once Northland's Spy Hill project is operational in late 2011, Northland's cash flows will be diversified over five geographically separate regions and regulatory regimes. Northland's common shares, preferred shares and two series of convertible debentures, which trade on the Toronto Stock Exchange under the symbols NPI, NPI.PR.A, NPI.DB and NPI.DB.A, respectively, are qualified investments for RRSPs, RRIFs and DPSPs under the Canadian Income Tax Act. Northland has in place a dividend re-investment plan that allows common shareholders who are residents of Canada to automatically have their monthly cash dividends reinvested in additional common shares. Participants do not pay any costs associated with the plan, including brokerage commissions. For further information or to join the plan, contact your financial advisor or broker.FOR FURTHER INFORMATION PLEASE CONTACT: Barb BoklaNorthland Power Inc.Manager, Investor Relations(647) 288-1438infobokla@northlandpower.caORBoris BalanNorthland Power Inc.Director of Communications(647) 288-1210(416) 962-6266 (FAX)