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EDPR, DGE and ENGIE Announce The Signing of Financing Agreements for Moray East

Madrid, Spain - EDP Renováveis S.A. (EDPR), through its subsidiary EDPR UK Limited, Diamond Generating Europe Limited (“DGE”) and ENGIE announced that Moray Offshore Windfarm (East) Limited (MOWEL) has successfully secured financing for the construction of its 950 megawatt (MW) offshore windfarm.

The project is currently owned by EDPR (43.3 percent), Diamond Green Limited, which is partly owned by DGE (33.4 percent) and ENGIE (23.3 percent). Santander Corporate & Investment Banking acted as financial advisor to EDPR, ENGIE, DGE and MOWEL.

The project financing agreements were signed with a syndicate of 16 commercial banks as well as EKF, Denmark’s Export Credit Agency (EKF) and the Japan Bank for International Cooperation (JBIC). The financing includes a £2.1bn debt facility (Euro 2.36bn) and £0.5bn (Euro 0,6bn) of ancillary facilities. Financial close is expected to occur before the end of 2018.

In September 2017, MOWEL was awarded a 15-year Contract for Difference (CfD) by the UK’s Department for Business, Energy & Industrial Strategy (BEIS) for the delivery of 950 MW of offshore wind generation at £57.5/MWh (Euro 64.6/MWh) (2012 tariff-based). The windfarm is expected to be operational by 2022.

Joao Manso Neto, CEO of EDPR said: "This is a massive step forward for this project, in which the consortium has placed all its trust. Given its size and characteristics, a deal of this magnitude marks a milestone for the financing of renewable energy on a global scale. We are delighted that our project is the star player".

Source: IWR Online, 04 Dec 2018