For Immediate Release
Contact: Don Canton or Don Larson
Hoeven Announces USDA Rural Development Electric Cooperative Loans and Loan Guarantees
BISMARCK, N.D. – Gov. John Hoeven today announced that the U.S. Department of Agriculture Rural Development has approved loans and loan guarantees to help expand generation and transmission capacity.
USDA Rural Development has approved a $37,990,000 Federal Financing and Bank guaranteed loan to Square Butte Electric Cooperative, a Minnkota Power Cooperative partner that maintains a high voltage direct transmission line between North Dakota and Deluth, Minnesota. Square Butte Power Cooperative owns a 440 MW lignite coal-fired unit at the Milton R. Young Station. Minnkota Power Cooperative operates the facility, along with its own unit, near Center, N.D.
The funds will be used to finance system improvements and modifications to the cooperatives’ existing generation and transmission facilities.
Counties that will benefit from the loan are Barnes, Benson, Burleigh, Cass, Cavalier, Eddy, Grand Forks, Griggs, Kidder, Morton, Nelson, Oliver, Pembina, Ramsey, Ransom, Richland, Steele, Stutsman, Traill and Walsh.
The federal agency has also approved $4.7 million in loans and loan guarantees to Central Power Electric Cooperative, Inc. in Minot . The agency approved a $2,173,000 million Federal Financing Bank loan for 33 years and a guarantee on a variable interest rate loan of $2,557,000 for 33 years, not to exceed 7 percent. The funds will be used to finance transmission projects included in the cooperatives 2000-2002 Construction Work Plan.
Counties that will benefit from the loan and guarantee include Benson, Bottineau, Dickey, Eddy, Foster, Kidder, Lamoure, Logan, McHenry, McLean, Pierce, Ramsey, Ransom, Renville, Richland, Rollette, Sargent, Sheridan, Stutsman, Towner and Ward.