Innergex Closes $142 Million Bridge Loan For The Hale Kuawehi Solar and Battery Storage Project in Hawaii

• US$100 million (CAN$142 million) non-recourse bridge loan for the Hale Kuawehi solar and battery storage project in Hawaii
• The construction phase is completed, and Hale Kuawehi is now advancing toward the final commissioning and testing stages
• Upon its commissioning, the project will benefit from a 25-year power purchase agreement with the Hawaii Electric Light Company
• The proceeds will be used mainly to repay the corporate revolving credit facility, effectively reducing corporate leverage

LONGUEUIL, QC, Dec. 16, 2024 /CNW/ - Innergex Renewable Energy Inc. (TSX: INE) ("Innergex" or the "Corporation") has closed a US$100 million (CAN$142 million) non-recourse bridge loan with First Citizens Bank to support the Hale Kuawehi project through its final stages and repay the corporate revolving credit facility, effectively reducing corporate leverage.

"This financing initiative reinforces Innergex's commitment to maintaining a strong balance sheet, positioning us for continued financial flexibility and growth as we expand our presence in our key markets," said Michel Letellier, President and Chief Executive Officer of Innergex. "Our Hale Kuawehi solar and battery storage project is nearing completion. With the construction phase now fully completed, we are focused on advancing the project toward full commissioning."

Hale Kuawehi's substation and interconnection points have been successfully energized earlier this month, marking a critical milestone for the advancement of the project. With the construction phase now fully completed and the project officially connected to the grid, the focus shifts to commissioning the installation (solar panels, inverters, and storage systems), bringing the project to full operational status in Q1 2025.

Upon its commissioning, the project's revenues will be secured through a 25-year power purchase agreement with Hawaii Electric Light Company. In addition, the project is eligible to receive a federal Investment Tax Credit (ITC) sized to approximately 30% of the project's eligible costs.

The construction bridge loan is expected to be repaid with the proceeds from a future long-term non-recourse financing after the facility reaches commercial operation.

About Innergex Renewable Energy Inc.

For over 30 years, Innergex has believed in a world where abundant renewable energy promotes healthier communities and creates shared prosperity. As an independent renewable power producer which develops, acquires, owns and operates hydroelectric facilities, wind farms, solar farms and energy storage facilities, Innergex is convinced that generating power from renewable sources will lead the way to a better world. Innergex conducts operations in Canada, the United States, France and Chile and manages a large portfolio of high-quality assets currently consisting of interests in 89 operating facilities with an aggregate net installed capacity of 3,377 MW (gross 4,332 MW), including 42 hydroelectric facilities, 35 wind facilities, 9 solar facilities and 3 battery energy storage facilities. Innergex also holds interests in 14 projects under development with a net installed capacity of 991 MW (gross 1,334 MW), 2 of which are under construction, as well as prospective projects at different stages of development with an aggregate gross installed capacity totaling 9,807 MW. Its approach to building shareholder value is to generate sustainable cash flows and provide an attractive risk-adjusted return on invested capital. To learn more, visit innergex.com or connect with us on LinkedIn.

Cautionary Statement Regarding Forward-Looking Information

To inform readers of the Corporation's future prospects, this press release contains forward-looking information within the meaning of applicable securities laws ("Forward-Looking Information"), including the Corporation's growth targets, power production, prospective projects, successful development, construction and financing (including tax equity funding) of the projects under construction and the advanced-stage prospective projects, sources and impact of funding, execution of non-recourse project-level financing (including the timing and amount thereof), and strategic, operational and financial benefits and accretion expected to result from such acquisitions, business strategy, future development and growth prospects, business integration, governance, business outlook, objectives, plans and strategic priorities, and other statements that are not historical facts. Forward-Looking Information can generally be identified by the use of words such as "approximately", "may", "will", "could", "believes", "expects", "intends", "should", "would", "plans", "potential", "project", "anticipates", "estimates", "scheduled" or "forecasts", or other comparable terms that state that certain events will or will not occur. It represents the projections and expectations of the Corporation relating to future events or results as of the date of this press release.

Forward-Looking Information includes future-oriented financial information or financial outlook within the meaning of securities laws, including information regarding the Corporation's targeted production, the estimated targeted revenues and production tax credits, targeted Revenues and Production Tax Credits Proportionate, the estimated project size, costs and schedule, including obtainment of permits, start of construction, work conducted and start of commercial operation for Development Projects and Prospective Projects, the Corporation's intent to submit projects under Requests for Proposals, the qualification of U.S. projects for PTCs and ITCs and other statements that are not historical facts. Such information is intended to inform readers of the potential financial impact of expected results, of the expected commissioning of Development Projects, of the potential financial impact of completed and future acquisitions and of the Corporation's ability to pay a dividend and to fund its growth. Such information may not be appropriate for other purposes.

Forward-Looking Information is based on certain key assumptions made by the Corporation, including, without restriction, those concerning hydrology, wind regimes and solar irradiance; performance of operating facilities, acquisitions and commissioned projects; availability of capital resources and timely performance by third parties of contractual obligations; favourable economic and financial market conditions; average merchant spot prices consistent with external price curves and internal forecasts; no material changes in the assumed U.S. dollar to Canadian dollar; no significant variability in interest rates; the Corporation's success in developing and constructing new facilities; no adverse political and regulatory intervention; successful renewal of PPAs; sufficient human resources to deliver service and execute the capital plan; no significant event occurring outside the ordinary course of business such as a natural disaster, pandemic or other calamity; continued maintenance of information technology infrastructure and no material breach of cybersecurity.

For more information on the risks and uncertainties that may cause actual results or performance to be materially different from those expressed, implied or presented by the forward-looking information or on the principal assumptions used to derive this information, please refer to the "Forward-Looking Information" section of the Management's Discussion and Analysis for the three months ended September 30, 2024.

SOURCE Innergex Renewable Energy Inc.

For information: Naji Baydoun, Director - Investor Relations, 450 928-2550, ext. 1263, [email protected], www.innergex.com; Jade Lachapelle, Advisor - Communications, 450 928-2550, ext. 1302, [email protected]