Thanks to the OptimaFlex technology, the 60 units of the SG 5.8-170 will operate at 6.2 MW, which combined with the largest rotor in the onshore segment leads to unparalleled Annual Energy Production (AEP) and the lowest cost of energy.
The wind turbines, which have been certified for a 30-year lifetime and will be covered by a 15-year service agreement, will be installed in 2022 in the municipality of Ånge, in central Sweden. Once commissioned, Björnberget will be the largest ever Siemens Gamesa project in the Nordics and will generate enough electricity to meet the demands of around 300,000 European households.
“I am delighted to see our partnership with Prime Capital strengthened as well as welcoming Enlight as a new customer. This deal shows the trust that both long-standing as well as new customers have in the Siemens Gamesa 5.X technology, which is leading the Nordics market thanks to its unmatched reliability and competitiveness,” stated Andreas Nauen, Siemens Gamesa CEO.
“The partnership with Siemens Gamesa, access to their latest technology and our focus on optimizing layouts for maximum production and minimal construction costs, will enable us to realize this project at a very competitive levelized cost of energy, and hence attractive risk adjusted returns for our investors” added Dr. Mathias Bimberg, Head of Infrastructure at Prime Capital.
The deal also marks the first investment of the Prime Green Energy Infrastructure Fund (PGEIF), a vehicle created to invest in large scale wind-powered energy assets in the Nordic countries, with no reliance on government support and with the lowest levelized cost of electricity in Europe.
The Björnberget project was developed by RES, one of the largest renewable energy companies in the world. which will also provide the civil construction works and asset management services for the project.
As part of the transaction, Enlight will be allocated a share of about 20% in the PGEIF fund. And will invest up to €50 million in the fund, which will be used for investments in additional RE projects in the Nordics. The company's weighted share in the project may decrease to 55% in case new investors will join the fund.
The total investment in the project is expected to amount to approximately €435-445 million. Enlight's expected share is €130-140 million, assuming debt financing of 45%-50% which is currently being promoted.
The project has obtained the required permits to begin construction and, according to the company's estimation, will reach commercial operation at the beginning of 2023.
The project company is in negotiations with one of the global technology giants to sell about 50%-55% of the facility's electricity production for the first 10 years as part of a power purchase agreement (PPA).
Gilad Yavetz, CEO and Co-founder of Enlight, said, "Especially during these challenging days for the Israeli economy, we are very proud to complete this important deal. We would like to thank our partners - Prime Green Energy Fund, RES, who developed the project and will perform its construction works, and Siemens Gamesa who will provide state-of-the-art turbines for the project, for showing their utmost commitment and worked with great intensity until the transaction was completed. The new project, which will begin construction immediately, will significantly increase Enlight's portfolio and its revenues. This is Enlight's second large-scale project in the Nordic market, the biggest, most developed and liquid energy market in Europe. This transaction is part of the company's expansion strategy in the Nordic market and will increase Enlight's flexibility and competitive advantages in many aspects"
