January 26, 2024

Korpilevonmäki Wind Farm Secures Long-Term Financing and Partnerships

In November 2023, Ilmatar announced an investment decision related to the Korpilevonmäki wind project in Säkylä, South-West Finland. Korpilevonmäki wind farm consists of six modern wind turbines with a total nominal capacity of 38.4 megawatts (MW) and it is expected to be operational by 2025. The wind farm has a Power Purchase Agreement (PPA) on place for electricity procurement.

Korpilevonmäki project involves one project financing bank, the Dutch Rabobank.

“This marks a long-term project financing strategy, with construction supported by debt from Rabobank. Ilmatar contributes the necessary equity capital on top of the debt. The mitigation of interest rate risk is managed through a long-term SWAP agreement”, as explained by Joonas Pernu, Investment Associate at Ilmatar.

Ilmatar has entered into a 10-year Power Purchase Agreement (PPA) with Mondelēz International for Korpilevonmäki wind farm. A PPA is a long-term electricity procurement contract, typically between a large electricity consumer or a group of smaller consumers and an electricity producer. It specifies the purchase of a certain amount of electricity at an agreed price for 10 to 20 years. PPAs provide predictability and stability for both parties involved.