Ingka Investment, the investment arm of Ingka Group, the biggest IKEA retailer, and France’s Oxan Energy have partnered with Avapa Energy on two floating offshore wind projects in Italy.
The combined installed capacity of the Sicily South and Sardinia Northwest offshore wind farms could total 2.45 GW.
The 1,150 MW Sicily South and the 1,300 MW Sardinia Northwest are in an early development stage and are proceeding with their Environmental Impact Assessment (EIA). The two wind farms, among five others, have been initiated by AvenHexicon , a joint venture between Avapa and Hexicon.
Now, Hexicon has signed a Sale and Purchase Agreement (SPA) with Ingka Investments and Oxan Energy to sell its 50 per cent stake in the two Italian floating wind farms.
Ingka Investments and Oxan Energy, through the joint venture NexVenti, will develop the two projects with the local partner Avapa Energy.
“Entering the Italian offshore wind market marks a significant milestone and it is the start of an exciting journey! We are committed to leveraging our expertise, together with highly qualified partners, to deliver projects that drive the transition to clean energy,” said Antoine Ecochard , Deputy General Manager of Oxan Energy.
Ingka Investments and Oxan will pay EUR 2.5 million upfront, with additional payments based on specific milestones, such as getting approval for the environmental assessment, winning the power sales auction, or making a final investment decision. The total amount they could pay could reach up to EUR 20 million, according to Hexicon.
“The future of energy is renewable, and offshore wind holds huge potential to continue Europe’s decarbonization journey. We’re thrilled about the next phases of our partnership in Italy and can’t wait to work closely with our partners to make a real impact,” stated Frederik de Jong , Head of Renewable Energy at Ingka Investments.
The transaction is expected to close in early April. Following this divestment, five floating wind projects will remain in AvenHexicon ‘s portfolio. Hexicon said that it will continue its project development in Italy through the joint venture to build value in its portfolio and support Italy on its journey towards climate neutrality.
In 2022, AvenHexicon secured priority rights for two areas to develop floating offshore wind farms in Italy. The first area, located south of Sicily, is 346 square kilometres while the second area, positioned northwest of Sardinia, extends for 364 square kilometres.
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