Chemicals giant BASF has agreed to sell a 25.2% stake in the 1520MW Hollandse Kust Zuid wind farm in the Dutch North Sea to Allianz Capital Partners. The transaction is subject to merger control approvals.
The move follows acquisition by BASF of a 49.5% stake in the same project from Vattenfall, which completed in September. BASF will continue to receive most of the power produced by the 49.5% portion of the project, under a long-term fixed-price corporate power purchasing agreement (CPPA).
BASF had previously announced its intention to reduce its investment by selling shares to a financial co-investor. Closing of the transaction is expected in the first quarter of 2022. Following completion, BASF will still own 24.3%.
“This agreement secures substantial value for both BASF as purchaser of the power produced and Allianz as a financial investor,” the company stated.
Hollandse Kust Zuid is expected to become fully operational in 2023. It will use 140 of Siemens Gamesa's SG 11.0-200DD wind turbines.
BASF has a goal to achieve net-zero emissions by 2050. It has adopted a “make and buy” approach to procuring renewable electricity.
Last month, it agreed to buy output from a 186MW portion of Ørsted’s planned 913MW Borkum Riffgrund 3 offshore project.
And in May German developer RWE announced plans to build a 2GW North Sea offshore wind farm to supply BASF and other industrial customers with green electricity and green hydrogen.
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