Aker Horizons lands deals under planned green industrial hub in Norway

Image: Aker Offshore Wind.

October 26 (Renewables Now) - Aker Horizons ASA (OSE:AKH), the renewables platform controlled by Norway’s Aker ASA (OSE:AKER), on Tuesday unveiled two deals worth a combined NOK 290 million (USD 34.7m/EUR 29.8m) under a new plan to develop green value chains for power-intensive industries in northern Norway.

Under the first deal, wholly-owned subsidiary Aker Narvik has agreed to pay NOK 200 million to Narvik municipality for two undeveloped land sites near the town, which is a well-connected transport hub 200 kilometres (124 miles) north of the Arctic Circle.

As part of the second transaction, Aker Narvik will invest NOK 90 million through a private placement to take 75% of Narvik Batteri AS, a company working to develop the local Hergot site for battery production.

The buyer said it will now work with business partners and authorities so as to reach investment decisions in 2022 on ways to develop the different sites.

The two deals mark the start of future major regional investments by Aker Horizons and its portfolio companies, which will rely on their capabilities in hydrogen, carbon capture and renewable energy to develop entire value chains.

Aker Horizons is also in advanced discussions with an unnamed global financial services provider as a potential anchor investor for a EUR-1-billion energy transition fund focused on infrastructure assets linked to carbon capture, hydrogen and electrification.

"The region offers several benefits as Aker Horizons’ hub for
activities in northern Norway with access to some of Europe’s lowest-priced renewable energy, excellent transportation connections for export including road, rail and port facilities, as well as local communities committed to the energy transition," Aker Horizons CEO Kristian Roekke said.

Parent company Aker announced separately that its subsidiary Aker Capital AS has reached an agreement with Nordkraft on a NOK-200-million investment in a data centre project in Narvik.

(NOK 10 = USD 1.195/EUR 1.030)

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