Hornsea One offshore wind project is located 120km off the coast of Yorkshire, England, and has started full commercial operations in 2020
The Renewables Infrastructure Group (TRIG) has signed an agreement with Global Infrastructure Partners to acquire a 7.8% stake in the Hornsea One offshore wind farm in the UK.
The Hornsea One offshore wind project is located 120km off the coast of Yorkshire, England, and is said to have shown strong operational performance since it became operational in 2020.
Global Infrastructure Partners owns the offshore wind project under a 50/50 joint venture (JV) with Danish power company Ørsted, which is also the operator.
The offshore wind project, featuring 174 Siemens Gamesa 7MW turbines installed across an area covering 407km2, is said to be the world’s largest offshore wind farm.
Hornsea One has an inflation-linked Contract-for-Difference (CfD) in place, which is valid for 13 years.
TRIG chairman Helen Mahy said: “We are only too conscious that these are extremely difficult times, and our hearts go out to those so tragically affected by the fighting within Europe.
“We believe that, against this uncertain geopolitical backdrop, it remains important to continue to finance renewables projects and play our part not only in the decarbonisation of the energy sector, but also contributing to security of power supply for the UK and the EU.”
Infrared Capital partners (Infrared) and Renewable Energy System (RES) have supported the company on the acquisition.
TRIG said that the transaction is subject to regulatory and lender consents, which are expected to be received in few months. Its closing is anticipated to take place at the end of first half 2022.
Upon completion of the acquisition, Hornsea One is expected to represent around 8% of the company’s portfolio, in terms of the value.
InfraRed Capital partner Richard Crawford said: “This investment is coupled with an increase to the Company’s Revolving Credit Facility and an issue of equity.
“These financing arrangements will contribute to funding the acquisition as well as the Company’s construction projects, and provide headroom to pursue an attractive pipeline of opportunities and further progress our portfolio diversification strategy.”