Bulletin: Panoche Energy Center LLC, Crockett Cogeneration LP, And Topaz Solar Farms Ratings Unaffected By PG&E Corp. Downgrade

SAN FRANCISCO (S&P Global Ratings) June 15, 2018--S&P Global Ratings today said that the two-notch downgrade on June 13, and continued CreditWatch listing with negative implications for the ratings on PG&E Corp. and Pacific Gas&Electric Co. have no immediate impact on California power project financings Panoche Energy Center LLC (BB/Stable/--), Crockett Cogeneration LP (BB+/Negative/--), and Topaz Solar Farms LLC (BBB/CW Negative/--). All three California power projects rely on the utility to purchase all the electricity they produce under long-term power contracts. We view Pacific Gas&Electric as an irreplaceable counterparty for each project. As a result, the ratings on the projects will be lowered if the utility is downgraded below the ratings on the projects. With the

...SAN FRANCISCO (S&P Global Ratings) June 15, 2018--S&P Global Ratings today said that the two-notch downgrade on June 13, and continued CreditWatch listing with negative implications for the ratings on PG&E Corp. and Pacific Gas & Electric Co. have no immediate impact on California power project financings Panoche Energy Center LLC (##/Stable/--), Crockett Cogeneration LP (##+/Negative/--), and Topaz Solar Farms LLC (###/CW Negative/--). All three California power projects rely on the utility to purchase all the electricity they produce under long-term power contracts. We view Pacific Gas & Electric as an irreplaceable counterparty for each project. As a result, the ratings on the projects will be lowered if the utility is downgraded below the ratings on the projects. With the recent downgrade of Pacific Gas & Electric to '###' there are two notches of headroom between the project and utility rating on Crockett Cogeneration L.P. and three notches for Panoche Energy Center. If the utility...

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