Hallador secures $600 million loan for Turtle Creek power expansion

Hallador ($HNRG) Energy disclosed a $600 million financing package supporting its planned 460-megawatt Turtle Creek power project and refinancing existing debt. The package includes $550 million funded at closing and a $50 million delayed-draw facility. The initial term is three years, with potential extensions subject to lender approval.

The agreement also permits a future revolving facility of up to $75 million, bringing the possible total to $675 million. That upper figure is not the amount already drawn. Hallador expects Turtle Creek’s total cost to remain below $800 million and is directing funds toward equipment, refurbishment and construction, as well as approximately $120 million of debt refinancing. Securing financing advances the project, but it does not mean the new generating capacity has entered service.

Sources:

• Hallador — Turtle Creek financing, company release reprint