HOUSTON--(BUSINESS WIRE)--Balfour Beatty Infrastructure Partners LP (BBIP) and Enchanted Rock, Ltd. (ERock) today announced the closing of an equity financing to fund the construction of microgrid power assets in the state of Texas. The microgrid assets will be owned through a newly created entity, Texas Microgrid, LLC (Texas Microgrid), and operated by ERock.
Texas Microgrid will provide backup power to a portfolio of creditworthy commercial and industrial customers using highly reliable and ultra-clean distributed natural gas generators. Additional revenues will be earned through sales of electricity and ancillary services in ERCOT. Texas Microgrid represents BBIP’s second investment in North America, further increasing the geographic diversity of its portfolio. Currently Texas Microgrid has signed customer contracts totaling over 50 MWs.
BBIP has partnered with ERock, a highly experienced EPC, O&M and energy management partner with a strong track record in originating, constructing and operating microgrid power assets for backup power service. ERock is responsible for the design, installation, and commissioning of 225 MWs, and field and market operations of 167 MWs of reliability sites, comprising the largest dispatchable distributed generation fleet in Texas.
Commenting today for BBIP, Managing Partner Rob Gregor said: “As long term investors, we are committed to delivering the highest level of performance for customers and electricity markets and view Texas Microgrid as a strong fit with BBIP’s investment strategy. We were attracted by Enchanted Rock’s unique approach to providing reliable backup power while building long term customer relationships. We believe Texas Microgrid, with ERock’s innovative expertise in backup power and energy management, provides an attractive solution to customers who place a high value on electrical reliability.”
Thomas McAndrew, Founding Partner and Managing Director of Enchanted Rock said, “The BBIP team has shown a dedication to the space and an ability to think creatively to develop long term infrastructure projects with attractive returns. We are proud to have them as partners and look forward to building out Texas Microgrid together.”
Bracewell LLP acted as BBIP’s legal advisor for this transaction and Elder Bray & Bankler PC acted as Enchanted Rock’s legal advisor.
BBIP is an infrastructure equity investment fund focusing on investments in utilities, energy and transport infrastructure in the United States, Canada and Europe. Texas Microgrid represents BBIP’s fifth investment. Other investments by BBIP include Upper Peninsula Power Company in the United States along with McEwan Power, Wightlink Ferries and Alkane Energy in the United Kingdom. For more information on BBIP please visit www.bbip.com.
About Enchanted Rock
Founded in 2006, ERock builds and operates cost effective microgrids that help companies manage physical and financial risk associated with electricity. ERock’s On Demand Electric Reliability℠ offering provides customers with highly reliable, ultra-clean, ultra-quiet natural gas backup power, operated on a turnkey basis. Customers pay only a small fraction of the installation cost of a standard reliability system. The structure of the offering shifts the performance and market risk to the operator and owner of the assets allowing customers to focus time and capital on their core business. ERock has over 100 years of combined senior management experience in the deregulated power markets and is the only company in Texas with a demonstrated track record in all of the areas of microgrids and distributed power including electrical interconnection, energy market integration, control technologies, construction, and asset operations and maintenance. For more information, visit www.erockhold.com.