Lydian Energy, an independent power producer specializing in the development, construction, and operation of utility-scale solar and battery energy storage projects across North America, has officially secured a sum of $233 million in its first ever institutional project financing.
According to certain reports, the stated piece of financing, backed by ING and KeyBank, is likely to support Lydian’s three different battery energy storage system (BESS) projects in Texas’ fast-growing ERCOT power market.
“Lydian Energy’s development of Headcamp reflects the type of forward-looking energy infrastructure we aim to support through strategic financing,” said Tyler Nielsen, Managing Director, Utilities Power and Renewables Group at KeyBanc Capital Markets. “Our team is thrilled to support Excelsior Energy Capital as they continue to deliver strategic, future-ready investments and projects that are increasingly vital as energy demand and system complexity continue to rise.”
More on that would reveal how ING served as the lender for Lydian’s Pintail and Crane projects, located in San Patricio and Crane Counties, respectively. For better understanding, these two systems, each sized at 200 MW/400 MWh, received a combined investment of approximately $139 million.
Anyway, as for third project i.e. Headcamp, it got a financial package of $94 million from KeyBank. KeyBanc Capital Markets also structured the financing package for this particular project
Headcamp, in case you weren’t aware, is basically a 150 MW/300 MWh project in Pecos County.
“Our support of Lydian’s portfolio reflects ING’s focus on identifying strategic funding opportunities that align with the accelerating demand for sustainable power,” said Sven Wellock, Managing Director and Head of Energy – Renewables & Power at ING. “Battery storage plays a central role in supporting grid resilience, and we’re pleased to back a platform with strong fundamentals and a clear execution path.”
Markedly enough, all three projects are developed under Excelsior Energy Capital’s Fund II, which recently closed at more than $1 billion. Not just that, they will also go a long distance to advance Lydian’s strategy in the context of delivering reliable, affordable renewable energy, which is eventually going to strengthen grid performance in key power markets, such as Texas.
Among other things, it ought to be acknowledged that tax credit bridge financings from ING and KeyBank will be joined by co-investment capital from Excelsior’s Fund II limited partners.
As for the progress on these facilities, they are currently under construction and expected to be placed in service in Q4 2025.
Founded in 2023, Lydian Energy’s rise up the ranks stems from specializing in the development, construction, and operation of utility-scale solar, and battery energy storage project. You see, thanks to a well-versed team of renewable energy professionals, the company has made a name for itself by conceiving high-potential mid- to late-stage renewable energy assets across North America.
The same is evident in its portfolio, which currently includes 20 solar and storage projects totaling 4.7 GW of capacity.
“These financings represent more than capital – they reflect the strong demand for reliable energy infrastructure in high-growth U.S. markets,” said Anne Marie Denman, Co-Founding Partner at Excelsior Energy Capital and Chair of the Board at Lydian Energy. “We’re proud to stand behind Lydian’s talented team as they deliver on the promise of battery storage with bankable projects, proven partners, and disciplined execution. In the midst of a lot of noise, these financings are a reminder that capital flows where infrastructure is satisfying fundamental needs of our society – in this case, the need for reliable, sustainable, domestic, and affordable energy.”
