Denmark’s Dong Energy has acquired 100% ownership of three offshore wind development projects in Germany, Gode Wind 1, 2, and 3, from PNE Wind.
The three projects have a total capacity of up to 900 megawatts and are located in the German North Sea approximately 30km northwest of the island of Norderney.
The purchase price for the three projects consists of an upfront payment of EUR 57million euros (£45million) and additional deferred payments that are subject to the achievement of certain milestones such as an investment decision to build the farms. The additional deferred payments could be as high as 100million euros (£80million).
Gode Wind 1 and 2 both have a permit from German authorities that allows for the construction and operation of the projects. However, Dong has warned that certain changes to the permits are required to enable total capacity in the projects.
Gode Wind 1 and 2 have unconditional grid connection confirmation from the grid provider TenneT for a total of 584MW.
Gode Wind 3 has applied for a permit to construct and operate, which is expected to be granted in 2013. Completion of the Gode Wind 3 transaction is conditional upon the relevant permits being obtained by the end of January 2014.
Dong said the acquisition of the Gode Wind 1, 2, and 3 projects is a major strategic step.