ALLETE Buying Minn. Wind Farms from EDF for $10M
Minnesota’s ALLETE Clean Energy will increase its MISO wind portfolio by one-third with a $10 million acquisition from EDF Renewable Energy.

alleteMinnesota’s ALLETE Clean Energy will increase its MISO wind portfolio by one-third with a $10 million acquisition from EDF Renewable Energy.

The companies asked the Federal Energy Regulatory Commission last week to approve ALLETE’s acquisition of EDF’s Northern Wind Energy, which owns 97.5 MW of wind capacity in Minnesota (EC15-58).

Northern Wind owns the 85.5-MW Chanarambie wind farm in Murray County, Minn., as well as eight 1.5-MW qualifying facilities in Minnesota: Buffalo Ridge Wind Farm, Moulton Heights Wind Power Project, Muncie Power Partners, North Ridge Wind Farm, Vandy South Project, Viking Wind Farm, Vindy Power Partners and Wilson-West Wind Farm.

All of the facilities being sold have long-term power purchase agreements with Northern States Power (NSP).

They would be acquired by ALLETE’s subsidiary, ACE Mid-West, which owns a 50-MW wind farm in Condon, Ore., and three wind generators in MISO with a combined capacity of about 290 MW.

The applicants requested approval by Feb. 17 to allow them to close the deal by March 1.

They said the deal raises no market power issues. “Ignoring the fact that the capacity from those facilities is fully committed to NSP under a long-term PPA, it would result in ACE and its affiliates controlling 2,991.6 MW, or 1.69%, of the installed capacity in MISO,” they told FERC.

A sister company of Minnesota Power, ALLETE was formed in 2011. It had no wind assets until last year, when it purchased four wind farms in Oregon, Minnesota and Iowa from NRG Energy and AES for a combined $41.9 million.

It also has an option to acquire a 101-MW wind farm in Armenia Mountain, Pa., from AES and plans to build a 107-MW wind farm near Hettinger, N.D., that it will sell to Montana-Dakota Utilities for about $200 million.

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