Equinor to offload half of Arkona ownership interest for EUR 500m
Arkona offshore wind farm in the Baltic Sea in Mukran on the German island of Rügen. (Photo: Eskil Eriksen / Equinor ASA)
Norwegian oil group Equinor ASA (NYSE:EQNR) has struck a EUR-500-million (USD 548m) deal to divest a minority stake in the 385-MW Arkona offshore wind farm in the German part of the Baltic Sea.
Specifically, Equinor will sell a 25% ownership interest in the plant to funds advised by Credit Suisse Energy Infrastructure Partners AG, which invests in the offshore wind market for the first time.
The transaction is expected to close by the end of the year, subject to clearance by the relevant competition authorities. Upon completion, Equinor will continue to hold a 25% stake in the wind park. German energy group RWE AG (ETR:RWE) holds the remaining 50% after acquiring the renewable energy assets of peer E.on SE (ETR:EOAN).
Arkona was officially opened in April 2019 at a ceremony that was attended by German chancellor Angela Merkel. The plant was built off the island of Ruegen and consists of 60 Siemens Gamesa turbines. French energy group Engie SA (EPA:ENGI) is buying the entire production of the wind farm under a power purchase agreement (PPA) signed in September 2018.