May 19 (Renewables Now) - Siemens Gamesa Renewable Energy SA (BME:SGRE) has signed a bank guarantee line for up to EUR 600 million (USD 656.3m) to cover the construction of turbine components for the 1.4-GW Hornsea 2 wind farm in the UK portion of the North Sea.
The wind turbine maker said on Monday that the funding is tied to environment, social and governance (ESG) criteria. BNP Paribas was the lead manager on the deal, which also included the participation of BBVA, Mizuho and Santander.
If it fails to achieve the defined ESG targets, Siemens Games will pay a certain premium, which otherwise will be paid by the lenders, the manufacturer said.
The Hornsea 2 wind farm project is being developed by Denmark’s Ørsted A/S (CPH:ORSTED) and will be equipped with 165 units of the 8.4-MW Siemens Gamesa turbines. To be located about 90 km off the Yorkshire Coast, the huge power plant will generate enough power to meet the annual consumption of more than 1.3 million UK homes per year, once up and running.
(EUR 1.0 = USD 1.094)