en.Wedoany.com Reported - Linea Energy (Linea), a U.S. renewable energy developer and independent power producer funded by EnCap Investments L.P. (EnCap), together with Crux, has completed a tax equity financing for its Watertown Solar Project in Sanilac County, Michigan. Watertown is a 172 MWdc utility-scale solar facility, and this tax equity commitment from a single investor of Crux represents the final commercial transaction for the project. The project previously secured $299 million in project debt financing, led by Santander Corporate & Investment Banking (Santander), with participation from Societe Generale, S.A., Norddeutsche Landesbank Girozentrale, and Truist Bank. Crux's investment brings the total project financing to $457 million.
The Watertown project is contracted with Consumers Energy under a 25-year Power Purchase Agreement. Consumers Energy is a Michigan regulated utility under the jurisdiction of the Michigan Public Service Commission.
Cassidy DeLine, CEO of Linea Energy, stated that Watertown is exactly what Linea was built for—a large-scale, long-term clean energy asset paired with a reliable offtaker and an efficient financing structure. Linea acquired the project in December 2024, then completed development, commercialization, financing, and transitioned to construction, reflecting the strength and depth of the Linea platform. Cassidy DeLine noted that the company is proud to bring significant economic benefits to Sanilac County and provide clean, reliable power to Michigan consumers, while thanking Crux, Santander, and the entire financing team for their collaboration in bringing the project to the construction phase.
Yonette Chung McLean, Chief Capital Officer at Crux, stated that Watertown exemplifies the high-quality projects defining today's market, featuring long-term contracted revenue and a financing structure that pools the right capital in the right form. Crux is pleased to support Linea Energy in bringing this project to market and looks forward to continuing to deploy capital alongside next-generation independent power producers like Linea as demand for clean energy continues to grow.
Watertown is now under construction and is expected to support approximately 150 construction jobs and generate enough clean energy to power about 25,126 Michigan homes annually (based on the Midcontinent Independent System Operator (MISO) grid), roughly equivalent to all homes in the city of Pontiac. Commercial operation is expected to begin in mid-2027. Over the project's operational life, Watertown is expected to generate $16.4 million in local property tax revenue for Sanilac County and reduce approximately 148,389 metric tons of carbon emissions annually, supporting a cleaner, more resilient grid for Michigan.
Orrick, Herrington & Sutcliffe LLP served as borrower's legal counsel to Linea Energy. Sidley Austin LLP served as legal counsel to Crux.
