Enbridge Inc., the pipeline operator hunting for European renewable energy investments, is bulking up its offshore wind assets by acquiring stakes from DONG Energy A/S in three farms located off France’s coast for $282 million (US$218 million).
The Canadian company plans to acquire a 50 per cent stake in Eolien Maritime France SAS, which is developing the offshore farms with 1.4 gigawatts capacity, Calgary-based Enbridge said in a statement on Tuesday. Enbridge will take Dong’s stake in Eolien, which will be co-owned with Electricite de France SA’s. Financial close on the projects could come as early as this year.
The deal is Enbridge’s second investment in European offshore wind. In 2015 it paid $750 million for a 25 per cent stake in EON SE’s 400-megawatt Rampion project off the coast of Sussex, England. The company last month called Europe its most attractive market for renewable energy projects because governments are supporting investment with attractively priced long-term contracts. It plans to spend about $5 billion to double its renewable energy capacity by 2019.