Cypress Creek Secures $3.5 Billion to Build One of the Largest Solar & Storage Projects in U.S.

Renewables developer and power producer Cypress Creek Energy announced that it has secured $3.5 billion in financing to fund the construction and operation of the first two phases of the Steel River Energy Center project in Arkansas, one of the largest solar and battery storage projects under development in the U.S.

The Steel River Energy Center project is expected to generate up 1.63 GW of solar capacity and 1.9 GW of battery storage to the regional grid through its first two phases. Upon completion, the three-phase project is expected to provide a total of 2.45 GW of solar capacity and 2.9 GW of battery storage by 2029.

The company said that the project is expected to generate nearly $300 million in new tax revenue over its lifetime, supporting local schools, public safety, road infrastructure, and other community priorities. The development is also expected to create approximately 700 construction jobs on site, along with additional jobs supporting construction activity through local hotels, restaurants, suppliers, and other businesses across the region.

The project will be built using 100% U.S.-made structural steel and domestically manufactured solar panels, the company added.

Kevin Smith, Chief Executive Officer, Cypress Creek Energy said:

“This financing reflects both the scale of the project and the strong support we’re seeing from the capital markets for high-quality energy infrastructure projects backed by experienced sponsors. “…” Together, we’re advancing infrastructure that can help meet Arkansas’s and America’s rapidly growing electricity demand while delivering long-term economic benefits to local communities.”

Barclays, BNP Paribas, Santander, and Wells Fargo acted as lead arrangers for the financing, with a major tax equity investor providing the tax equity financing. Long-term power sales for the first two phases were secured through a virtual power purchase agreement (VPPA) with an investment-grade corporate counterparty.

Andrew Platt, Head of Energy Structured Finance & Advisory US, Santander Corporate & Investment Banking added:

“We are proud to have led the financing for these landmark projects and to have supported Cypress Creek Energy throughout every stage, from development through construction.”