Clean energy company Masdar will acquire interests in two US wind farms, making it the first Abu Dhabi company to invest in the renewables industry in North America.
Masdar, which will acquire the two assets from John Laing Group for an undisclosed sum, expects to close the transaction in the first half of this year, it said on Tuesday. The deal is subject to the consent of the government and financing partner.
“Extending our reach into the United States is a defining moment for Masdar’s clean energy operations and a further step forward in our efforts to expand the company’s global renewable energy portfolio, which now encompasses more than 25 countries,” said Mohamed Al Ramahi, Masdar’s chief executive.
Masdar is expanding its renewables portfolio regionally and internationally and currently has energy projects in the UAE, Jordan, Egypt, Morocco, Mauritania, the UK, Spain, Serbia and Montenegro. The company is delivering more than 1.3 gigawatts of solar power and 1.4GW of wind energy annually.
“The United States provides excellent commercial potential in the long-term, with a record 6.3 per cent of the country’s electricity generated from wind in 2017,” said Mr Al Ramahi. “We aim to increase our investments in the US in the next few years as we continue to strengthen our current partnerships and explore new business opportunities.”
Under the terms of the deal, Masdar will acquire John Laing’s interest in the 149 megawatt Rocksprings wind farm in Texas and the 29.9MW Sterling wind farm in New Mexico.
Following the completion of the transaction, Masdar will own interest in a partnership with French renewable power producer Akuo Energy, with whom the Abu Dhabi company is already a partner in the 72 Krnovo Wind Farm, Montenegro’s first wind energy project.
“This investment realisation with Masdar will release capital to recycle into new greenfield opportunities in the US and internationally where we remain committed to our strategy investing in renewable energy and other infrastructure,” said Olivier Brousse, John Laing's chief executive.
Separately, Masdar and Taaleri Energia, a Finnish wind and solar developer and fund manager, signed an agreement for a joint venture to develop renewable energy projects in Central and Eastern Europe. The Taaleri Energia SolarWind I fund has invested alongside Masdar in a 158MW wind farm in Serbia, and in the Baynouna Solar Energy Company, which is constructing a 248MW solar PV plant in Jordan, the largest in the country.