NL Hydro has announced the finalization of the $1 billion federal loan guarantee and capital restructuring of Muskrat Falls and the project’s Labrador Transmission Assets.

The restructuring is part of the $5.2 billion rate mitigation plan announced back in February.

Hydro says it has secured $1 billion in additions financing, underwritten by CIBC through a series of 21 bonds.

Bond rating agency, DBRS Morningstar, has assigned the $1 billion in bonds a provisional AAA rating.

Travis Shaw of DBRS Morningstar says the bonds will help to lower the overall funding costs of the project.

It will help to achieve financing at a lower cost, with savings passed on to ratepayers.

Bonds that were set to mature in 2022 will be staggered with a final expected maturity date of June 1, 2057.