Log in or Register for enhanced features | Forgotten Password?
White Papers | Suppliers | Events | Report Store | Companies | Dining Club | Videos

Power Generation
Wind
Return to: EBR Home | Power Generation | Wind

Shell-led consortium plans to divest stake in Dutch offshore wind farms

EBR Staff Writer Published 04 October 2017

Royal Dutch Shell alongside its partners Eneco and Mitsubishi is mulling over divesting up to 45% of stake in two offshore wind projects in the Dutch North Sea with a combined capacity of 700MW capacity.

The Dutch offshore wind farms involved in the possible sale are the Borssele III and IV wind farms which are expected to be developed at a total cost of $1.4bn, according to Bloomberg.

Dutch contracting company Van Oord, which is also part of the consortium, will retain its original stake in the offshore wind farms.

Eneco has been quoted by the publication to have stated: “This is part of a planned assessment by the consortium on how to best fund the project and future offshore wind projects for the long term.

“Offshore wind projects require substantial capital. We are in the energy transition for the long-haul.”

It was in December last year that the Shell-led consortium had bagged the rights to develop the Borssele III and IV offshore wind farms. The Dutch wind power project is located nearly 22km off the Zealand coast.

Borssele III and IV, each of 350MW capacity are likely to be commissioned in 2020.

Once operational, the two wind farms will be operated with a €300m subsidy. They are expected to generate over 3.2GWh of electricity per annum to meet the energy needs of 825,000 households.

The Shell-led consortium had chosen MHI Vestas Offshore Wind as the preferred supplier of wind turbines for the Borssele III and IV offshore wind farms.

None of the companies in the consortium had revealed their respective stakes in the project although there are reports of Shell holding a stake of 50%, Eneco holding 30% while Van Oord and Mitsubishi having stakes of 10% each.

Japan-based Mitsubishi is represented in the consortium through its wholly-owned subsidiary Diamond Generating Europe.