Iberdrola has signed a strategic agreement with Abu Dhabi-based Masdar to co-invest in the 476 MW Baltic Eagle offshore wind farm in the German Baltic Sea.
According to the terms of the transaction, the valuation of 100 per cent of the project amounts to around EUR 1.6 billion.
Following confirmation that all the necessary regulatory approvals have been received, the Spanish energy company will have a majority stake of 51 per cent in the offshore wind project.
Iberdrola will control and manage the assets, providing operation and maintenance services and other corporate services.
In July, Ignacio Galán, executive chairman of Iberdrola, and the CEO of Masdar, Mohamed Jameel Al Ramahi, signed the agreement as part of a broader commitment between two clean energy powerhouses.
The Baltic Eagle offshore wind farm is located northeast of the Rügen island off the Pomeranian coast in the Baltic Sea in a water depth of 40-45 metres.
The project will feature 50 Vestas’ V174-9.5 MW wind turbines , which are expected to be fully commissioned in 2024.
Once operational, the wind farm will produce around 1.9 TWh of electricity per year, enough to meet the demand of 475,000 homes and avoid the emission of 800,000 tonnes of CO2 into the atmosphere per year, according to Iberdrola.