PHOENIX (AP) — U.S. Department of Energy officials say Arizona's largest solar power plant will remain in operation despite its parent company's financial meltdown.
The Arizona Republic reports (http://bit.ly/1lf9kiN) that Abengoa, the Spanish company that owns Solana Generating Station near Gila Bend, is on the verge of liquidating assets in preparation for possible bankruptcy.
Solana's revenue goes toward repaying a $1.5 billion loan from the U.S. for the plant's construction.
Energy Department spokesman Bart Jackson says the U.S. is protected even if Abengoa goes into bankruptcy because the loan was made to a company separate from the parent company.
Abengoa informed the Spain's stock regulatory agency last month that it would seek the Spanish precursor to bankruptcy.
In Spain, insolvency proceedings allow a company four months to determine financing with creditors before bankruptcy.
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Information from: The Arizona Republic, https://www.azcentral.com/