Ms. Christine Healy reports

NORTHLAND POWER OPTIMISES DEBT FINANCING AT HAI LONG OFFSHORE WIND PROJECT AND INCREASES PROJECT'S DEBT FUNDING BY $0.9 BILLION

Northland Power Inc.'s Hai Long offshore wind project in Taiwan has secured approximately 55 billion new Taiwan dollars (equivalent to $2.4-billion) of new Taiwan-dollar-denominated debt with a 20-year tenor.

Financing highlights

• $2.4-billion of new-Taiwan-dollar-denominated debt facilities at the 100-per-cent project interest level, including $900-million of incremental financing through project completion;
• Optimizes the project's capital structure and financing costs;
• Expands and diversifies funding sources, demonstrating lender confidence and reducing execution risk;
• The incremental financing and precompletion revenue are expected to cover future project financing requirements;
• Construction activities are continuing as the project is on track for commercial operations in 2027, with overall costs aligned with original expectations.

Of the new debt facilities, approximately $900-million represents incremental funding available through project completion. The incremental funding and expected precompletion revenues are expected to be sufficient to cover project funding requirements. The remaining approximately $1.5-billion of proceeds replaces existing debt. Together, these measures optimize the project's capital structure and cost of financing.

In total, 35 financial institutions are supporting the transaction, including seven export credit agencies from the original financing. This includes 17 financial institutions including international and local Taiwanese commercial and state-owned banks, that are providing the new project debt. The addition of more local Taiwanese commercial and state-owned banks further broadens the project's funding base across both construction and operations phases.

"We have achieved a significant milestone at Hai Long, and this financing reflects the strength of the project and the critical role offshore wind plays in Taiwan's energy future," said Christine Healy, president and chief executive officer of Northland. "Northland is among the few companies in the world with the proven capabilities to develop, finance and deliver projects of this scale. This outcome reinforces our confidence in the project and in offshore wind as a long-term investment platform."

Jeff Hart, Northland's chief financial officer, commented: "This financing strengthens Hai Long's fundamentals and reflects Northland's focus on driving value. We recognize the significant contributions of our partners and stakeholders who collaborated to support achieving this important milestone."

Hai Long is located approximately 45 to 70 kilometres off the Changhua county coast in the Taiwan Strait and has a total capacity of 1,022 megawatts. Long-term offtake contracts of 30 years underpin the project and provide the contracted revenue visibility that supports Northland's Energize 2030 targets.

The project is on track for commercial operations in 2027, with overall costs aligned with original expectations. Once completed, Hai Long is expected to be one of the largest offshore wind projects in Asia.

About Northland Power Inc.

Northland Power is a Canadian-headquartered global power producer delivering the electricity the world needs through offshore wind, onshore renewables, battery storage and natural gas-fired generation. With offices in seven countries, Northland owns or has an economic interest in 3.5 gigawatts of gross operating generating capacity, 2.5 GW under construction and an approximately 8.0 GW development pipeline, reflecting nearly four decades of experience delivering large-scale energy infrastructure.

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