Masdar invests £525m in UK offshore wind

The Abu Dhabi renewable energy firm is buying half of Norwegian company Statoil’s 70% stake in the Dudgeon offshore wind farm.

Abu Dhabi renewable energy investor Masdar has acquired a 35 percent stake in the £1.5 billion (€1.9 billion; $2.5 billion) Dudgeon offshore wind farm – its second UK offshore wind investment.

Masdar spent £525 million buying half of Norwegian oil and gas company Statoil’s stake in Dudgeon. Norwegian company Statkraft owns the remainder of the wind farm, which will be operated by Statoil. Masdar also owns a 20 percent stake in the 630-megawatt (MW) London Array project, billed as the world’s largest offshore wind farm.

UK Energy and Climate Change Secretary Ed Davey said: “Masdar’s investment is a strong endorsement of the UK as the best place in the world to invest in offshore wind. Since 2010 we have seen, on average, £7 billion a year invested in renewables and we expect to see up to £50 billion more between now and 2020.” The UK is the world’s largest offshore wind market with a generating capacity of 3.6 gigawatts (GW). The government plans to grow that capacity to 10GW by 2020.

Dudgeon is currently in the planning stage, with construction due to start in 2016. When the wind farm is operational in late 2017, it is expected to provide power to some 410,000 households across the UK.

Founded in 2006 with a $15 billion commitment from the Abu Dhabi government, Masdar has more than $1 billion of equity invested in renewable energy projects worth about $7 billion. Masdar’s renewable investments span Abu Dhabi, the Seychelles, Mauritania, Spain and the UK and generate nearly 1GW of clean energy.

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