Three large corporations are set to buy wind power produced at Allete Clean Energy's recently purchased wind site in Oklahoma, the Duluth-based company announced Friday.
Walmart, Starbucks and Smithfield Foods have entered into power sale agreements to purchase all 300 megawatts of power produced at the future Diamond Spring wind farm in southern Oklahoma, which Allete Clean Energy bought from Apex Clean Energy early this year and plans to build, own and operate the facility.
Construction at Diamond Spring is expected to begin later this year or in early 2020.
“Allete Clean Energy is proud to help these leading companies meet their greenhouse gas reduction and renewable energy goals through the carbon-free energy that will be generated at Diamond Spring,” said Allete Clean Energy President Allan S. Rudeck Jr. “In addition to adding renewable energy to meet sustainability goals, these companies also seek to lower their energy costs.
According to Allete Clean Energy, Walmart agreed to purchase 175 megawatts for 15 years, Smithfield agreed to purchase 75 megawatts for 12 years and Starbucks agreed to purchase 50 megawatts for 15 years.
The Diamond Spring is Allete Clean Energy’s first project to sell wind power to corporate customers and is now fully contracted, Allete Clean Energy said.
Allete Clean Energy, founded by Duluth-based Allete in 2011, has grown rapidly and can currently provide 540 megawatts of wind generation to its customers. The company expects that to jump to 720 megawatts when its next two wind farms are operational later this year and to over 1000 megawatts when Diamond Spring is online.