Port of Argentia Inc. (Nefoundland, Canada) reached a binding agreement on commercial terms with Pattern Renewable Holdings Canada 2 ULC (Pattern Energy) for a planned renewable energy to green fuels project at Argentia.
Argentia Capital Inc. (ACI), the Port’s 50/50 partnership with Torrent Capital Ltd., is a signatory to the agreement.
Pattern Energy is taking a lease option on some 6,000 acres of industrial and forest lands owned by the Port. Should it exercise the option and proceed with the project, Pattern will construct a 300 MW wind energy facility designed to power the production of green ammonia for export to global markets.
Pattern Energy’s plans also include additional phases which could include increasing wind energy production utilizing Crown Lands and the expansion of the ammonia production plant on site at Argentia, said Port of Argentia CEO Scott Penney.
Key commercial terms include land lease rates at the Port, priority berthing charges, and a wind royalty on elecricity sales. The agreement also includes commercial terms for ACI to co-invest in the renewable project as a Limited Partner as well as receive a gross revenue royalty on ammonia sales.
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Port of Argentia Inc. is a non share capital company and owners of the Port of Argentia. Port of Argentia is a heavy industrial seaport located on the southeastern portion of the Island of Newfoundland, in Placentia Bay. Formerly the site of a US Naval Base, Argentia is being redeveloped with a diverse group of port users and tenants involved in marine transportation, renewable energy, manufacturing, construction, offshore oil, mining, and other sectors.
