"Structuring Project Company"
Pre-Summit Workshop Structuring Your Wind Project Development February 2, 2011 About the Workshop At this workshop, you will get the latest insights to successfully structure your wind project development in today’s environment. The workshop is focused on identifying potential hurdles to the deal, such as the power purchase agreement, the turbine supply agreement, project valuation, and structuring the deal to complete the transaction. Experts will discuss the current structures and fundamentals for getting wind power projects off the ground in today’s difficult environment of capital constraints, changing government incentives and policy uncertainty. 8:00 – 9:00 Registration and Continental Breakfast 9:00 – 9:15 Welcome and Introduction by the Workshop Chair 9:15 – 10:15 Negotiating Your Power Purchase Agreements This presentation will discuss lessons learned in the developing power purchase agreement market including: • Status of offtake market • Trends affecting PPAs o State mandates, national RES, and climate change legislation o Demand o State commission approvals • Utility participants—willing or not so willing • Municipal and public utilities • Updates on terms, conditions, pricing, and security • Joint ventures and utility purchase options • Merchant market update and interplay with transmission issues Jim Tynion III, Partner, FOLEY & LARDNER LLP Elizabeth Hanigan, Senior Counsel, FOLEY & LARDNER LLP 10:15 – 10:45 Morning Networking Break 10:45– 11:45 Buying a Wind Project or Wind Company With the possibility that the Treasury Cash Grant program will not be extended and tax equity capital continuing to be constrained, more M&A activities may be in store for 2011. This session will discuss what you should look for when buying or selling a wind company, an operating wind project or a project under development. Lloyd MacNeil, Partner, CHADBOURNE & PARKE LLP 11:45 – 1:30 Group Luncheon sponsored by: Luncheon speaker: Rob Goldberg, Partner, MAYER BROWN LLP 1:30 – 2:00 Special Presentation: The Shepherds Flat Wind Project Financing Deal *Held at the “Negotiating Your Wind Project Financing” Workshop room 2:00 – 2:30 Afternoon Networking Break 2:30 – 3:30 Structuring Turbine Supply Arrangements The US wind turbine market continues to experience an imbalance between the availability of wind turbines and existing demand as a result of the economic and legislative environment and the entry of new turbine manufacturers. This session will explore market strategies for arranging the supply and financing of wind turbines in the current market and focus on issues, terms and trends in turbine supply agreements, warranties, and service and maintenance agreements. Wayne Song, Partner, MORGAN, LEWIS & BOCKIUS LLP Matthew Olive, Sales Director, GOLDWIND AMERICAS David Sale, Commercial Sales Manager, SIEMENS ENERGY, INC., WIND POWER AMERICAS 3:30 – 4:30 Valuation Considerations of Wind Projects and Development Pipelines Over the past years investments in the wind market have been greatly impacted by the financial crisis and the lack of long term tax incentives. This has resulted in fluctuations in transactions prices and volume. As a result, there is increasing pressure within organizations to support the investment with a third party valuation. This session will discuss the key considerations of the valuation of a wind project such as the monetization of tax credits and MACRS tax depreciation; approaches to value (cost, market and income) and useful life. In addition, the valuation of a development pipeline or project will be discussed. Marlene Motyka, Principal and Leader, Power & Utilities, DELOITTE FINANCIAL ADVISORY SERVICES LLP 4:30 Workshop Adjourns