Tierra Seca and Seven Flags will contribute more than 200MW/400MWh of storage capacity to the ERCOT grid.
The financing package includes $59 million in construction-to-term loans from Manulife, $95 million in tax equity bridge loans from East West Bank and Investec, and $98 million in tax equity commitments from Sugar Creek Capital. East West Bank and Investec jointly coordinated the bridge loans, with Investec serving as the administrative agent and East West Bank acting as the collateral agent and depository bank.
Spearmint founder, president, and CEO Andrew Waranch said: “We are thrilled to secure this financing for Tierra Seca and Seven Flags, which demonstrates the confidence world-class investors have in Spearmint’s ability to develop and efficiently operate grid-scale energy storage infrastructure. As rapidly increasing power demand continues to put pressure on grid stability, we are pleased to accelerate the development of these two projects to facilitate increased energy availability in ERCOT.”
The MA Mortenson Company is overseeing construction for both projects, which will utilize Sungrow Power Supply’s PowerTitan 2.0 energy storage platform. Together, Tierra Seca and Seven Flags will add over 200MW/400MWh of storage capacity to the Electric Reliability Council of Texas (ERCOT) grid, supporting consistent and cost-effective power supply across the state. Both facilities are expected to begin operations by late 2025.
Legal support for the financing was provided by Paul Hastings for Spearmint, Day Pitney for Manulife, Milbank for East West Bank and Investec, and Leverage Law Group for Sugar Creek Capital. The collaboration reflects strong investor confidence in Spearmint’s expertise in energy infrastructure.
Spearmint chief financial officer Cory Magnuson stated: “Manulife, East West Bank, Investec and Sugar Creek Capital are globally recognised investors with strong expertise in energy and infrastructure. We are proud that they have elected to partner with Spearmint in our mission of providing safe, stable and affordable power to the grid.”
By expanding storage capacity, these projects will help meet growing energy demands in Texas, contributing to a more resilient and sustainable energy network. Spearmint’s efforts align with the broader goal of ensuring reliable power for communities while supporting the state’s energy infrastructure development.
