Fermi America has announced that it has secured a $165 million senior secured, first lien, delayed draw term loan from CSG Investments, Inc., an affiliate of Beal Bank USA. The financing is intended to cover the remaining progress payments on six Siemens Energy gas turbines previously ordered by the company, with deliveries scheduled throughout 2028.
The loan marks a significant milestone for Fermi America’s Project Matador, a major infrastructure initiative aimed at providing clean, reliable power amid growing supply chain challenges. According to the company, the borrower of the facility is Fermi Turbine Warehouse II LLC, a special purpose entity of Fermi Inc.
“Every dollar of capital we secure is highly intentional and is a vote of confidence in Project Matador,” said Toby Neugebauer, Chief Executive Officer and Co-Founder of Fermi America. “At a time when supply chain logs for long lead time items and connection queues are holding back America’s leading companies, Fermi is helping provide the ramp needed to access clean, redundant power certainty in an uncertain market.”
The transaction builds on Fermi America’s recent financial activities, including a $500 million turbine warehouse facility with MUFG Bank, Ltd., and an estimated $200 million facility from Keystone National Group. Officials emphasized that the repeatable warehouse structure is designed to support future turbine equipment purchases ahead of full project financing, providing flexibility and continuity in securing critical power generation assets.
John Donovan, Executive Vice President of Capital Markets for Fermi America, praised the role of the lender in facilitating the transaction. “We have tremendous respect for the CSG and Beal Bank USA teams – they brought real expertise in asset finance to this transaction and moved with speed and professionalism at every step,” Donovan said. “This facility is a testament to the growing institutional confidence in Project Matador’s asset quality and our team’s ability to execute. We look forward to deepening this relationship as we continue to scale our platform.”
The $165 million loan will finance six Siemens Energy SGT-800-57 gas turbines, each rated at 57 megawatts, with deliveries scheduled in pairs over the course of 2028. The financing covers 100% of the remaining Siemens Energy progress payment obligations. Fermi America also acknowledged Siemens Energy for its ongoing support in securing these long-lead, high-demand generation assets, which are central to Project Matador’s power delivery timeline.
Legal counsel for the transaction was provided by Vinson & Elkins LLP for Fermi America and Davis Polk & Wardwell LLP for the lender. The involvement of leading law firms underscores the complexity and significance of the financing, which positions Fermi America to continue its growth trajectory and advance critical power infrastructure projects in the United States.
The financing also reflects broader market trends, where supply chain constraints and delays in securing long-lead items are affecting energy infrastructure development. By arranging funding ahead of turbine deliveries, Fermi America is ensuring that Project Matador remains on track to meet its operational and environmental goals, even in a market characterized by uncertainty.
Project Matador is a key component of Fermi America’s strategy to deliver clean, reliable energy. The company has emphasized that securing institutional financing at this stage demonstrates both the market’s confidence in the project and the robustness of Fermi America’s operational capabilities. With the Siemens turbines scheduled for 2028, the company is positioned to provide consistent power solutions to meet growing demand while navigating supply chain challenges.
As the energy sector continues to evolve, Fermi America’s approach—combining strategic financial planning with long-term equipment procurement—illustrates a model for other developers looking to mitigate risk and accelerate deployment of critical generation assets. The $165 million loan with CSG Investments and Beal Bank USA represents not just a financial milestone but a vote of confidence in the future of Project Matador and the company’s ability to deliver on its ambitious energy objectives.
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