Toronto energy producer Northland Power has acquired 85% stake in three offshore wind projects in Germany – Nordsee One, Nordsee Two and Nordsee Three – from RWE Innogy.
RWE energy, which is a utility farm based in Germany, will retain 15% equity interest in the three wind power projects.
The offshore wind projects cover 100km2 area around 40 kilometres north of Juist Island, and are ideally located for wind power generation.
Norsee One is in advanced stages of development and the cost of development is estimated to be EUR1.2bn. The project with 54 wind turbines for renewable power generation is expected to be completed by end of 2017.
Once operational, the project will supply over 1,300GW energy to 400,000 homes in the country.
Nordsee Two and Nordsee Three, once set up, are estimated to supply 670MW of power.
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By GlobalDataNorthland Power CEO John Brace said, "This partnership is consistent with Northland’s focused, strategic approach to development and our commitment to delivering long term value to shareholders.
"Nordsee One is expected to be commercially operational by the end of 2017 and immediately thereafter should be highly accretive to free cash flow per share."
RWE Innogy CEO Hans Bünting said, "Today’s agreement marks the first important milestone on the way to realize the Nordsee One offshore wind project.
"As part of RWE Innogy’s capital light strategy going forward, we are going to share the capital required for offshore-projects through partnerships."
