Equinor has agreed to divest a 25% stake in the 385MW Arkona offshore wind farm in the German waters of the Baltic Sea for about €500 million to funds advised by Credit Suisse Energy Infrastructure Partners.

The Norwegian oil and gas giant holds a 50% stake in the German offshore wind project, which was brought into production in September 2018.

Equinor will hold onto a 25% stake in the Arkona offshore wind farm following the transaction. RWE Renewables following the acquisition of E.on’s renewable assets is the operator of the German wind project with a 50% stake.

Pål Eitrheim – executive vice president of Equinor New Energy Solutions said: “This divestment demonstrates Equinor’s ability to realise value from the development of offshore wind projects. Active portfolio management through the project life cycle is an important part of our offshore wind strategy.

“Arkona was delivered under budget and on time and has had strong operational performance since start-up. Now the project is de-risked and in the early phase of operations, and we are pleased to welcome Credit Suisse Energy Infrastructure Partners as new partner.”

Located 35 kilometers northeast of the Rügen island, the Arkona offshore wind farm has been built with an investment of €1.2 billion. The offshore German wind farm can meet the power consumption needs of nearly 400,000 households.

Roland Dörig, managing partner of Credit Suisse Energy Infrastructure Partners said: “We are delighted to invest alongside two of the most experienced offshore wind players in the sector, as well as expanding on our existing relationship with RWE Renewables. Arkona is our first investment in the offshore wind market, a sector we have identified as a key investment priority”.

Equinor said that Germany is a major market for it where it delivers renewable energy and is also said to be the second-largest supplier of natural gas.

The Norwegian oil and gas giant entered into the Arkona offshore wind farm in April 2016. The company’s transaction with Credit Suisse Energy Infrastructure Partners will be subject to approval by relevant competition authorities and is likely to be completed during Q4 2019.

  Arkona offshore wind farm, Baltic Sea, Credit Suisse Energy Infrastructure Partners, Equinor, Germany, Pal Eitrheim, Roland Dörig, RWE Renewables