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The Mohawk Council of Kahnawà:ke arranged a senior secured term loan to finance its equity investment in the Hertel–New York interconnection line, the Quebec segment of a cross-border project delivering renewable electricity from Hydro-Québec's grid to New York City. The Council and Hydro-Québec are co-owners of the line through the Horizon Kahnawà:ke Hydro-Québec Limited Partnership, in what Hydro-Québec has described as the first time it has jointly owned transmission infrastructure with a First Nation. The Hertel Line is a roughly 58-kilometre, 400 kV underground transmission line running from the Hertel substation in La Prairie, Quebec, to an interconnection point at the Rivière Richelieu on the Canada–United States border, where it connects to the Champlain Hudson Power Express line running to Astoria, Queens. The line carries up to 1,250 MW of renewable electricity, enough to power approximately 1 million homes. The Council's equity acquisition was structured to be entirely financed rather than funded from community funds, with the Council initially holding a minimum 10 percent stake and an option to increase its interest to up to 49 percent of the Quebec portion. Project agreements formalizing the co-ownership were signed on April 18, 2024, and the line began transmitting electricity to New York in 2026.
Parties
Company
Mohawk Council of Kahnawà:ke
Company
Hydro-Québec
Deal Type
Financing/InvestmentIndustry
EnergyTransaction
Undisclosed/ConfidentialDeal Status
ActiveClosing Date