Arevon Energy, Inc., a leading renewable energy developer, has successfully closed a $258 million financing package for its Peregrine Energy Storage Project in San Diego, California. The project, which includes a 200-megawatt/400-megawatt-hour energy storage system, is set to enhance grid stability and reduce the risk of blackouts and brownouts.

This marks Arevon's seventh financial close in the past 15 months, with the company securing over $3.2 billion in funding during this period. The Peregrine project's financing includes a $179 million debt package and a $79 million preferred equity commitment. Santander served as the Administrative Agent, while CoBank, ACB and BNY also played key roles. Acadia Infrastructure Capital structured the preferred equity commitment for the project.

Once operational, the Peregrine Energy Storage Project will store electricity for use during peak demand and power outages, helping supply electricity to up to 200,000 homes. The project will also generate over $28 million in property tax payments over its lifetime and employs over 90 full-time workers during construction.

Arevon will continue to operate the Peregrine project after completion, utilizing Tesla's Megapack 2 XL technology for superior energy storage performance. Southern California Edison will purchase the project's Resource Adequacy capacity under a long-term agreement to aid the state's energy reliability efforts.