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Algonquin Power & Utilities Corp. says its power generation subsidiary, Algonquin Power Co. (APCo), will build a 177 MW wind project as a result of Saskatchewan Power Corp.'s (SaskPower) request for proposals.

The Chaplin Wind Project will be located in the rural municipality of Chaplin, Saskatchewan, located 200 km west of Regina. The wind farm, which will consist of approximately 77 multi-megawatt wind turbines, will be constructed at an estimated capital cost of C$355 million. Construction completion is targeted for December 2016.

According to Algonquin, the Chaplin Wind Project enjoys an excellent wind resource, and will satisfy the energy needs of approximately 70,000 homes.

The energy generated by the project will be sold under a 25-year power purchase agreement between SaskPower and APCo's wholly owned subsidiary Windlectric Inc. The agreement features an annual commercial power purchase rate escalation of 0.6% of the tariff in the preceding year. The project was jointly originated in 2009 by APCo and Gaia Power Inc.

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