Tonbridge closes on MATL - full details

6 November 2009

Tonbridge Power closed its debut project financing for its Montana-Alberta transmission line with the Western Area Power Administration on 27 October. The $161 million financing, for project company Montana Alberta Tie Ltd, is the first that Western has completed using its $3.25 billion borrowing authority under the American Recovery and Reinvestment Act. It boasts a 30-year tenor, low pricing, and it overturned obstacles – financial, legal and regulatory – that came close on several occasions to sinking the project.

The financing, which funded on 29 October brings to a close a protracted and difficult financing and permitting process. The developer, listed on Toronto's TSX Venture Exchange, defeated the final challenge to the project from a group of Alberta landowners in Canada's Supreme Court on 22 October. The developer hopes to start construction before the end of this year, and complete the line before the middle of 2011.

The debt has an all-in annual ...

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