A reliability model of wind farm located in mountainous land with complex terrain, which considers the cable and wind turbine (WT) failures, is proposed in this paper. Simple wake effect has been developed to be applied to the wind farm in mountainous land. The component failures in the wind farm like the cable and WT failures which contribute to the wind farm power output (WFPO) and reliability is investigated. Combing the wind speed distribution and the characteristic of wind turbine power output (WTPO), Monte Carlo simulation (MCS) is used to obtain the WFPO. Based on clustering algorithm the multi-state model of a wind farm is proposed. The accuracy of the model is analyzed and then applied to IEEE-RTS 79 for adequacy assessment.