The acquisition amount for the wind farm located nearly 16.8 miles off Blakeney Point on the North Norfolk coast also covers a 50% funding commitment of the capital expenditure of the project along with transmission assets.

Dong Energy and the Australian based Macquarie Group have also agreed a framework for sharing construction risk as part of the deal.

Dong Energy Wind Power executive vice president and CEO Samuel Leupold said: “I welcome Macquarie as partner on Race Bank. They have successfully invested in infrastructure projects world-wide and have experience in offshore wind from previous investments.

“We have seen a high level of interest from a number of potential investors in Race Bank. This proves that our partnership model continues to be attractive.”

Currently in advanced stages of construction, the Race Bank wind farm project is likely to be fully commissioned in 2018.

Proceeds from the transaction will be paid from 2016 until the project completion. The project will be funded through project finance debt and equity combination.

Macquarie Infrastructure and Real Assets global head Martin Stanley said: “We have a long and successful history of investing in renewable energy around the world. Our funds have invested in wind farms, biomass power plants, photo-voltaic and hydro-electric facilities together with landfill gas generation.

“This investment is being made by our fifth European infrastructure fund which reached a final close earlier this year.”

Dong Energy, under a construction management agreement, will handle the completion of the construction stage.

The Danish energy firm has also agreed to deliver operations and maintenance services from its Grimsby located O&M base.

Macquarie Capital Europe Energy and Infrastructure head Mark Dooley said: “DONG Energy is an industry leader and pioneer in offshore wind power development globally. Macquarie Group launched in the UK in 1989 and has since invested £6bn of capital into European renewables – and this further demonstrates our ongoing focus and commitment to the offshore wind sector.”

Additionally, Dong will give a route to market for the energy production and green certificates for Macquarie’s 50% stake in the wind farm project.


Image: Location of Race Bank offshore wind farm project. Photo: courtesy of DONG Energy A/S.