Energy company Eni announced today the acquisition of a 20% stake in UK-based Dogger Bank C, part of the world’s largest offshore wind farms, from joint venture partners SSE Renewables and Equinor for a total equity consideration of £140 million. SSE and Equinor are each selling a 10% stake in the project.
When completed, Dogger Bank will be the world’s largest offshore wind farm, with 3.6 GW of generation capacity. Construction on the project is being led by SSE, while Equinor will operate the project. The wind farm is being built in three consecutive 1.2GW phases; Dogger Bank A, Dogger Bank B, and Dogger Bank C, with each project expected to generate around 6TWh of electricity annually.
Claudio Descalzi, Chief Executive Officer of Eni, said:
“Through this important transaction, we continue to accelerate our growth strategy in renewable energy, as well as strengthening our presence in the offshore wind market in Northern Europe, one of the most promising and stable markets in the world. This is new capacity further enhances and expands Eni’s portfolio that integrates renewables and retail, a fundamental strategic lever for the decarbonization of emissions related to the use of our products by our customers. It is, therefore, a new concrete step in our process of complete reduction of the net emissions of industrial processes and products.”
Today’s transaction deepens Eni’s involvement in the UK offshore wind project. The company announced in December 2020 that it would acquire a 20% stake in Dogger Bank A and B for £405 million. Following the close of the newly announced transaction – expected in Q1 2022 – the shareholding structure will be comprised of SSE Renewables and Equinor at 40%, and Eni at 20%.
Pål Eitrheim, Executive Vice President, Renewables at Equinor, said:
“With this offshore wind transaction, we continue to demonstrate value creation from Equinor’s renewables business. As with Dogger Bank A and B, the divestment in the Dogger Bank C project is in line with our strategy of accessing selective markets early and at scale, leveraging our offshore capabilities to mature and de-risk projects.”
Gregor Alexander, SSE’s Financial Director, said:
“SSE welcomes Eni as an industrial partner to the Dogger Bank C project. The sale of a stake in Dogger Bank C to Eni represents good value for shareholders and will enable us to continue to recycle capital into creating more low-carbon electricity assets. Together with our partners, we are building the world’s largest offshore wind farm, creating value and tackling climate change.”