Oglethorpe Power Closes On Second DOE Loan Guarantee

Funds will go towards Vogtle Units 3 & 4, the nation's lone nuclear construction project

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Mar 22, 2019, 10:56 ET

TUCKER, Ga., March 22, 2019 /PRNewswire/ -- Oglethorpe Power Corp. (OPC) has finalized an agreement with the United States Department of Energy for a $1.62 billion loan guarantee. The corporation previously secured a $3.057 billion loan guarantee from the DOE in February 2014.

The funds will be used for OPC's share of nuclear units 3 & 4 currently under construction at the Alvin W. Vogtle generating facility in Waynesboro, GA. Oglethorpe Power's ownership is 30 percent, representing 660MW of capacity. In combination, the two DOE loan guarantees for Oglethorpe total $4.68 billion and are expected to cover approximately 62% of Oglethorpe's total project budget for Vogtle of $7.5 billion (which includes financing costs and contingency).

"We are very thankful for the continued support of the Department of Energy for the Vogtle project and are pleased to finalize an additional loan guarantee for our share of the project," said Elizabeth B. Higgins, executive vice president and chief financial officer.

Units 3 & 4 are the first to be built in the United States in more than 30 years and the only new nuclear units currently under construction in America. Expected on-line in November 2021 and November 2022, respectively, the new units are expected to generate enough emission-free electricity to power approximately 500,000 homes and businesses.

Today, Vogtle 3 & 4 is the largest jobs-producing construction project in the state of Georgia, employing more than 7,000 workers from across the country, with more than 800 permanent jobs available once the units begin operating.

About Oglethorpe Power

Oglethorpe Power is one of the nation's largest power supply cooperatives with more than $12 billion in assets serving 38 Electric Membership Corporations which, collectively, provide electricity to approximately 4.1 million Georgia residents. A proponent of conscientious energy development and use, Oglethorpe Power balances reliable and affordable energy with environmental responsibility and has an outstanding record of regulatory compliance. Its diverse energy portfolio includes natural gas, hydroelectric, coal and nuclear generating plants with a combined capacity of nearly 7,800 megawatts. Oglethorpe Power was established in 1974 and is owned by its 38 Member Systems. Its headquarters are in Tucker, Georgia, an Atlanta suburb.

SOURCE Oglethorpe Power Corporation