Spanish utility Iberdrola SA (BME:IBE) has closed the sale of a 49% stake in the 476-MW Baltic Eagle offshore wind project in the German portion of the Baltic Sea to Abu Dhabi Future Energy Company PJSC, better known as Masdar.
The two companies agreed to co-invest in the project in July and have now completed the transaction having obtained the necessary regulatory approvals, according to a news release on Thursday. The deal valued 100% of Baltic Eagle at EUR 1.6 billion (USD 1.7bn).
Iberdrola will control and manage the asset and will be providing operation and maintenance (O&M) services once it enters operation. This is expected to happen by the end of 2024.
The 50-turbine wind farm will have the capacity to produce 1.9 TWh of electricity a year and will be selling the output under long-term contracts. The project is also backed with a minimum regulated tariff of EUR 64.6/MWh for the first 20 years.
(EUR 1.0 = USD 1.064)