BlackRock Real Assets has set the seal on a deal with developer Zephyr to acquire a 100% interest in the construction-ready 197.4MW Guleslettene wind power project near Florø on the west coast of Norway.

Production from the wind farm, expected online in late-2020, will supply smelters at Alcoa Norway’s nearby aluminium plant under a 15-year power purchase agreement, which is underwritten with the Norwegian Export Credit Guarantee Agency.

BlackRock bought Guleslettene through its Global Renewable Power II fund, which to-date has invested over 75% of some $1.65bn committed to a diversified portfolio of 12 renewable power infrastructure assets across four continents.

“This transaction demonstrates BlackRock’s continued focus on renewable power investments, where the firm now has $5bn of equity assets under management, and has invested in over 170 wind and solar projects globally,” said BlackRock head of renewable power Rory O’Connor.

“We are delighted to partner with Alcoa, Zephyr and DekaBank in completing another landmark transaction in Norway following our acquisition of the Tellenes wind farm in 2016.”

Sverker Åkerblom, BlackRock’s director and portfolio manager in the renewable power investment team, added: “We view the Norwegian renewables market, and the Nordic region more widely, as an attractive market for wind projects and we have to date invested in close to 600MW of wind projects across Norway and Sweden producing enough electricity to power more than 300,000 European households.”

For Guleslettene, Danish OEM Vestas will be supplying 47 V136 4.2MW turbines, kitted out with a cold-climate package including a blade anti-icing system, while contractors Stangeland Maskin and Veo will handle civil and electrical construction services.

Zephyr will oversee the construction and, once operational, manage the €200m project on behalf of BlackRock.

Zephyr managing director Olav Rommetveit noted: “Together with the local communities in Bremanger and Flora, Zephyr has spent the past decade developing Guleslettene wind farm. It is satisfying to reach financial close for what will become the largest wind farm that Zephyr has developed and built.”

Wind

BlackRock buys construction-ready Guleslettene