By Jacob Maranda | Albuquerque Business First
August 22, 2024
New Mexico’s State Land Office said Thursday it executed long-term leases for a pair of wind projects on state lands, which, combined, could generate $146 million in monies for state coffers.
EDF Renewables, based in San Diego, is the lessee for one of the two projects. EDF’s wind farm, dubbed “Silver Stallion,” would be located on 23,840 acres in Grant County and generate roughly 400 megawatts of energy — one of the largest wind projects on New Mexico state lands, according to a Thursday news release from the State Land Office.
Québec, Canada-based Innergex Renewable Energy Inc. (TSX: INE) is the other lessee. Its “Hidalgo Wind” project would span 12,192 acres in Hidalgo County and generate around 150 megawatts of energy.
Together, the Office estimates the two projects will generate over $146 million in state revenue over the projects’ lifespans. That revenue would go toward public schools in New Mexico and other beneficiaries including the New Mexico Military Institute, New Mexico Highlands University and Eastern New Mexico University, among others, the release notes.
Commissioner of Public Lands Stephanie Garcia Richard said in a statement the state vetted “multiple qualified bidders” on both of the land leases. The Office unsealed bids for each lease at public auctions in Santa Fe, per its release.
“New Mexico is blessed with plenty of wind and sun, as well as nine million acres of state lands, making us well-positioned to expand our renewable energy portfolio even more,” Garcia Richard said in a statement. “These wind projects will provide real, long-term revenue to help make a difference in New Mexico’s classrooms.”
There are upwards of 2,000 megawatts of wind energy either under development or currently being generated by projects on New Mexico state trust land, data provided by the State Land Office shows.
The bulk of that generation comes from the central and eastern parts of the state, centered around Lincoln and Torrance counties.
Those counties are where Pattern Energy, in part, is developing its SunZia Wind project. The project, which spans Lincoln, Torrance and San Miguel counties, would generate roughly 3.5 gigawatts, or 3,500 megawatts, of electricity to be transported roughly 550 miles to Central Arizona via a high-voltage direct current transmission line.
That transmission line, one part of the $11 billion SunZia Transmission and Wind development, was the subject of a months-long legal dispute, dismissed by a U.S. district judge in June.
Other companies operating or developing wind projects on state trust land, per State Land Office data, include Avangrid Inc., which tried to merge with PNM Resources Inc., NextEra Energy Inc., which also controls a 240-megawatt solar and battery storage facility in Valencia County that was commissioned earlier this year, Clearway Energy, Scout Clean Energy, Leeward Renewable Energy and PNE AG.
Approximately 400 megawatts worth of solar energy are also generated via projects on state lands that are either already in operation or under development.
The State Land Office’s Commercial Resources Division houses an Office of Renewable Energy, responsible for expanding energy leasing and production on state trust lands. Craig Johnson directs the Office of Renewable Energy.
This article originally appeared in Albuquerque Business First.