JPMorgan Chase and Capital One have announced a joint commitment of $260 million in tax equity financing for BrightNight’s Box Canyon solar project located in Pinal County, Arizona. This investment was made public on Monday and aims to leverage production tax credits generated by the project.

The financing arrangement also includes deferred contributions from the banks and is designed as a partnership flip, which will facilitate tax benefits for both the banks and BrightNight. This announcement follows a recent $440 million investment from Goldman Sachs' alternative investment division, indicating strong financial backing for BrightNight’s five-year strategic plan.

The Box Canyon project, a 300-megawatt solar facility co-owned by BrightNight and Cordelio Power, is projected to commence operations in early 2025 and is expected to generate around 900,000 megawatt-hours of electricity each year. This capacity is anticipated to supply energy for approximately 77,000 homes and businesses across Arizona.

This financing from JPMorgan and Capital One follows a successful $414 million construction financing round completed in May, which involved several financial institutions. The structure of the investment will allow BrightNight to capitalize on its expected clean energy production credits, while the banks can use these credits to mitigate their future tax obligations.

BrightNight also announced an increase in its corporate credit line from $375 million to $400 million, aimed at strengthening its balance sheet for its U.S. project portfolio. The company currently manages a diverse portfolio of 31 gigawatts, which includes solar, energy storage, and hybrid energy projects.