Masdar, the UAE’s flagship renewable energy company, has signed a strategic agreement with Iberdrola, a global clean energy leader, to co-invest in the 476-megawatt (MW) Baltic Eagle offshore wind farm in the German Baltic Sea. Iberdrola will retain a majority 51% stake in the asset.
According to the terms of the deal, Baltic Eagle wind farm is valued at approximately 1.6 billion euros. Iberdrola will control and manage the asset, providing operation and maintenance services and other corporate services.
Baltic Eagle will consist of 50 wind turbines built on monopile foundations, each with a unit capacity of 9.53 MW. Anticipated annual production is 1.9 terawatt-hours (TWh), enough clean energy to meet the electricity demands of 475,000 homes, saving 800,000 tons of CO2 being released into the atmosphere every year.
The wind farm, which is scheduled to come into initial operation at the end of 2024, has a minimum regulated tariff of €64.6/MWh for the first 20 years. In addition, 100% of its production has already been sold via long-term contracts.
Intesa Sanpaolo, IMI Corporate & Investment Banking Division, acted as sole financial advisor of Masdar.
