Northland Power Inc. has reached financial close for the 332-megawatt Nordsee One offshore wind project after securing €840 million (US$897 million) from a group of lenders.
Northland owns 85% of the project that will be located 40 kilometers off the coast of Germany, with RWE Innogy holding the rest. The project has a total cost of €1.2 billion, and all of the equity has also been contributed.
Approximately 70% of the cost comes from a €840 million non-recourse secured construction and term loan and related loan facilities from 10 international commercial lenders that include ABN AMRO, Bank of Montreal, Commerzbank, Export Development Canada, Helaba, KfW IPEX, National Bank of Canada, Natixis, Rabobank and The Bank of Tokyo-Mitsubishi.
The project will enjoy a feed-in tariff subsidy under the German Renewable Energy Act. Senvion will supply, install, and maintain the 54 sets of 6.15-MW turbines.
Northland and RWE also jointly own two early-stage development projects, Nordsee Two and Nordsee Three, each with the same ownership structure as Nordsee One These projects, totaling approximately 670MW, are due to be developed over the next decade as offshore wind tariffs are extended and the grid infrastructure is made available.