Iberdrola has entered into a strategic partnership with Masdar, a prominent renewable energy company headquartered in Abu Dhabi, to jointly invest in the 476 MW Baltic Eagle offshore wind farm situated in the German Baltic Sea.
After securing all required regulatory approvals, Iberdrola will hold a majority ownership stake of 51% in the project, contributing to the advancement of energy independence in Europe.
As per the transaction terms, the total project valuation stands at approximately $1.72 billion for the entire 100%. Iberdrola will take charge of asset control and management, overseeing operations and maintenance services, along with other corporate services.
In July, Ignacio Galán, the executive chairman of Iberdrola, and Masdar’s CEO, Mohamed Jameel Al Ramahi, formalized the agreement, marking a significant commitment between these two influential players in the clean energy sector.
Both entities consider this transaction to be strategically significant, representing a crucial milestone that reinforces their partnership. This collaboration sets the stage for exploring additional investment opportunities in renewable energy across various technologies and regions.
The Baltic Eagle project will feature 50 wind turbines, each boasting a capacity of 9.53 MW, and will be constructed on monopile foundations.
The initiative is projected to generate 1.9 terawatt-hours (TWh) of clean electricity on an annual basis. This output is sufficient to fulfill the energy needs of 475,000 households and prevent the release of 800,000 metric tons of CO2 into the atmosphere each year.
The wind farm, set to commence operations by the end of 2024, features a regulated tariff of at least $69.33 per megawatt-hour (MWh) for the initial 20 years. Moreover, the project has already secured contracts for 100% of its production through long-term agreements.
