EDP Renovaveis has signed an agreement with China Three Gorges Corp. to invest in and develop the Moray wind offshore project, located in the North Sea off the coast of Scotland.
EDPR, through its subsidiary EDPR UK, signed the agreement with China Three Gorges (Europe)
Under the agreement, CTG EU intends to acquire up to 30% of the equity and shareholder loans directly or indirectly owned by EDPR in the Moray Offshore Renewable Limited in order to participate in the investment, development and operation of the Moray wind offshore project.
The transaction is expected to occur in two phases, with CTG investing between 10% to 20% following the announcement of a new Contract for Difference auction allocation round, and an additional investment of up to 10% subject to Moray Offshore Renewable Limited be successfully awarded with a CfD.
The transaction is subject to regulatory and third party approvals and other precedent conditions.
In January 2010, Moray Offshore Renewable Limited was awarded the right, under a farm leasing programme conducted by The Crown Estate, to develop offshore wind energy in Zone 1 of the Third Offshore Wind Licensing Round and in March 2014 was granted consent, by the Scottish government, for up to 1,116-megawatt offshore wind development.
The project may be divided in several phases, to allow a proper bidding strategy in the CfD allocation rounds.
