S&P: Moxie Patriot loan B+

Standard & Poor's said it assigned a B+ preliminary ratings to Moxie Patriot LLC's $385 million secured term loan B-1, $200 million term loan B-2 and $53 million LOC facility.

S&P also said it assigned a preliminary 2 recovery rating to the debt.

The outlook is stable.

Moxie Patriot is a special-purpose, bankruptcy-remote operating entity set up to build the Patriot Power Plant, S&P said.

The construction is expected to last until mid-2016, the agency said. When complete, Patriot will generate revenue by selling capacity, energy and ancillary services to the market, the agency said.

S&P said it expects revenues to be somewhat volatile, although capacity payments and the project's heat rate call option on 400 megawatts of generation through 2020 are expected to cover a meaningful portion of fixed costs and mandatory debt service.

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