Linea Energy Secures Financing for Major Solar Project in Michigan

Linea Energy Secures Financing for Watertown Solar Project

Introduction
In an exciting development for renewable energy, Linea Energy, a prominent U.S.-based renewable energy developer and independent power producer (IPP), has announced the closure of financing for their significant solar project in Watertown, Michigan. The announcement was made on March 24, 2026, marking a pivotal step forward in the company’s mission to promote clean energy solutions. With backing from EnCap Investments, the project is set to bring about numerous economic benefits to the local community while addressing the pressing need for sustainable energy.

Details of the Project
The Watertown solar facility boasts an impressive capacity of 172 MWdc, classifying it as a utility-scale solar project situated in Sanilac County, Michigan. The financing structure comprises a construction-to-term loan, a tax equity bridge loan, and a letter of credit facility. Leading this financial initiative is Santander Corporate Investment Banking, with additional involvement from Société Générale, Norddeutsche Landesbank Girozentrale (NORD/LB), and Truist Bank.

Linea Energy has also finalized a 25-year power purchase agreement (PPA) with Consumers Energy, which is authorized under the jurisdiction of the Michigan Public Service Commission (MPSC). This agreement is anticipated to be significant for the financial success and operational stability of the Watertown solar project.

Comments from Leaders
“We are thrilled to announce the successful financing of Watertown,” expressed Cassidy DeLine, the Chief Executive Officer of Linea Energy. “With the support of our financing partners and our long-term agreement with Consumers Energy, Watertown will bring meaningful economic benefits to Sanilac County while supporting the state's long-term transition to a resilient, low-carbon grid.”

Nuno Andrade, the U.S. Head of Structured Finance at Santander, underscored the importance of this project, stating, “Santander is proud to partner with Linea Energy on the financing of Watertown. This project underscores the strength of Linea's platform and will deliver long-term value for Michigan communities and the broader renewable energy sector.”

Economic Impact
The construction phase of the Watertown project is expected to create around 150 jobs, significantly contributing to local employment. Once operational, the facility is projected to generate enough clean energy to power approximately 25,126 Michigan homes on an annual basis. Additionally, by integrating with the Midcontinent Independent System Operator (MISO) market, the project will enhance the overall energy landscape of Michigan.

Over the next two decades, the Watertown project will also contribute $16.4 million in local property tax revenue, aiding community development initiatives. Furthermore, this renewable energy facility is set to reduce carbon emissions by an impressive estimate of 148,389 pounds annually. Such contributions are vital for promoting cleaner energy solutions and striving towards a more sustainable environment.

Legal and Financial Support
This financing marks Linea's third renewable energy project to reach a successful financial close. The legal framework supporting this transaction was provided by Winston Strawn, who served as legal counsel to the lenders, while Orrick, Herrington & Sutcliffe acted as borrower counsel to Linea Energy, ensuring a robust legal and compliance structure around this critical financing deal.

About Linea Energy
Based in San Francisco, California, Linea Energy specializes in developing, owning, and operating clean energy infrastructure. The company is dedicated to facilitating the transition to a sustainable energy future through diverse projects encompassing wind, solar, and battery energy storage solutions. Partnered with EnCap Investments, Linea focuses on innovating development strategies and optimizing processes to enhance renewable energy project deployment speed and efficacy.

Conclusion
The Watertown solar project signifies a progressive step towards achieving renewable energy targets in Michigan. Linea Energy's commitment to sustainability, combined with strong financial support and community engagement, positions this initiative as a beacon of innovation in the renewable energy sector. As construction progresses and operations begin, the impacts of this project on both the local economy and carbon emissions will be closely monitored and celebrated.