Doral secures $100 million credit facility for US renewable buildout - Trade Treasury Payments

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Doral secures $100 million credit facility for US renewable buildout

Doral Renewables LLC has closed a new $100 million corporate letter of credit (LC) facility, extending its total LC capacity to $285 million. The new facility, arranged and issued solely by HSBC, will primarily support interconnection deposits and power purchase agreement (PPA) obligations across Doral’s active project pipeline in the United States.

The financing, which supplements the company’s existing $185 million LC capacity, provides Doral with additional working capital coverage during the early stages of project development, where credit support is often required by transmission operators and utility offtakers. 

Evan Speece, Chief Financial Officer at Doral Renewables LLC, said, “Doral is proud to have extended our relationship with HSBC by raising this new corporate Letter of Credit capacity, which will enable us to continue efficient development of our project portfolio. In today’s renewable energy development climate, this type of credit support capacity is paramount to success, and we appreciate HSBC’s support in bolstering our strength in this area.”

Doral’s development portfolio spans over 16 GW of solar and energy storage projects across 20 US states. Of this, 400 MW are already operational and a further 950 MW are under construction. The firm is active in seven independent system operator (ISO) and regional transmission organisation (RTO) markets, with an increasing focus on integrating agrivoltaics to benefit rural landowners and farming communities.

The company has secured over $2.5 billion in long-term power sales through wholesale PPAs with US-based offtakers, positioning it as a mid-sized but growing player in the domestic clean energy transition.

HSBC, which served as sole arranger and issuing bank for the new facility, framed the transaction as a continuation of its strategic focus on sustainable finance. 

Kelly Chan Considine, Director, Global Network Banking US at HSBC, said, “We are pleased to deepen our relationship with Doral through this financing, and support Doral’s dedication to delivering large-scale renewable energy projects in the US.”