EDP Renovaveis, Diamond Generating Europe and Engie have secured financing for the 950MW Moray East offshore wind farm.
Image: EDPR, DGE and Engie secure financing for 950MW Moray East offshore wind farm. Photo courtesy of EDP Renewables.
A syndicate of 16 commercial banks as well as EKF, Denmark’s Export Credit Agency (EKF) and the Japan Bank for International Cooperation (JBIC) have provided the financing for the Moray East offshore wind farm.
The financing includes a £2.1bn debt facility and £0.5bn of ancillary facilities.
EDPR CEO Joao Manso Neto said: “This is a massive step forward for this project, in which the consortium has placed all its trust. Given its size and characteristics, a deal of this magnitude marks a milestone for the financing of renewable energy on a global scale. We are delighted that our project is the star player”.
Located off the north-east coast of Scotland, the offshore wind farm will generate electricity for nearly one million UK households, when it is fully commissioned by 2022.
Covering an area of 295km2, the Moray East offshore wind farm will be located at a distance of 22km off the coast in the North Sea.
In September last year, the offshore wind farm secured a 15-year Contract for Difference (CfD) from the UK’s Department for Business, Energy & Industrial Strategy (BEIS) for the supply of 950MW of power at £57.5/MWh.
Financial close for the Moray East offshore wind farm is expected to take place before the end of 2018.
ENGIE UK & Ireland CEO Wilfrid Petrie said: “We are pleased to announce, together with our partners EDPR and DGE, the signing of the project financing agreements for this important renewable project.
“We look forward to proceeding to financial close and progressing with the construction of the windfarm. ENGIE is committed to investing in Scottish energy infrastructure and using its expertise to deliver low carbon generation around the world.”
Recently, Danish cable supplier NKT has secured a contract to deliver and install export cable systems for the wind farm.
The wind farm will include 100 of 9.5MW turbines to be supplied by MHI Vestas.