Austrian Erste Group and its subsidiary Banca Comercială Română (BCR) have agreed on a EUR 76 million loan to Germany's STEAG for a wind farm project in Romania.

The 108 MW wind farm Crucea North, located in the Dobrogea region on the Romanian Black Sea coast, will benefit from EUR 49 mln from Erste Group Bank, and EUR 27 million VAT facility from BCR.

The financing will come in a parallel term loan structure with the European Bank for Reconstruction and Development EBRD.

Erste Group Bank AG is acting as facility and security agent and sole hedging provider to the borrower. Erste Group's commercial loan facility benefits from cover by the Danish export credit agency Eksport Kredit Fonden, according to Erste. “Despite months of great uncertainty and continuous changes in the Romanian renewal energy market the transaction could be successfully closed,” according to the company.

Crucea Wind Farm is fully owned by STEAG GmbH, a power producer in Germany. Total investment costs are approximately EUR 200 million. The Crucea North Wind Farm will comprise of 36 wins turbines of 3 MW each. The wind park is at an advanced stage, with commercial operation date scheduled for the end of 2014.

editor@romania-insider.com