Vestas takes 40% in 353-MW Swedish wind project

Vestas Wind Systems A/S (CPH:VWS) today said it will acquire 40% in a 353-MW onshore wind project in central Sweden, for which it will also supply and install 84 turbines.

The Danish wind turbine maker will partner in the project with Danish pension fund PKA and Swedish energy group Vattenfall AB, leaving for them equal stakes of 30%. The project requires an investment of EUR 350 million (USD 415.2m), to be financed partially by non-recourse project financing. Vestas said financial close is expected in the coming months.

Vestas is expanding its involvement in wind projects beyond the supply, installation and servicing of turbines and engineering, procurement and construction (EPC) to also include equity investments, project co-development and the provision of financial solutions. Thus it secures project pipeline and creates profitable investment opportunities, it said.

The onshore wind project includes the Blakliden and Faebodberget wind farms in Asele and Lycksele Municipality. They will have 50 and 34 turbines of the V136-4.2 MW model, respectively. Delivery of the equipment is to start in the first half of 2021, with full commissioning targeted for the closing quarter of the same year.

For PKA, also Pensionskassernes Administration A/S, this is the first investment in onshore wind. “The model created for this investment can be copied to other similar investments as we have seen it with our investments in offshore wind parks,” said CEO Peter Damgaard, who is confident this would not be the pension fund’s last involvement in onshore wind.

Vestas’ order also includes a 25-year Active Output Management (AOM 5000) service contract.

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