Total has signed an agreement with wpd to acquire an interest in Yunlin Holding GmbH, owner of Yunlin offshore windfarm off the coast of Taiwan
The project, currently under construction, has a capacity of 640 MW and benefits from a 20-year guaranteed-price power purchase agreement (PPA) with state-owned company Taipower of US$250/MWh for the first 10 years and US$125/MWh for the following 10 years.
For the acquisition of a 23% interest, Total will pay wpd a consideration based on its share of past costs.
Located around 10 km offshore in a water depth ranging from 7 m to 35 m, the windfarm will consist of 80 wind turbines with a unit capacity of 8 MW.
Construction is scheduled to be completed in 2022. Once on stream, the project will produce 2.4 terawatt hours of electricity per year. Procurement of the main components has been finalised and marine works are under way. The project reached a major milestone with the installation of the first wind turbine on 23 April 2021.
Total president gas, renewables and power Stéphane Michel said, “This agreement provides Total with an opportunity to gain a foothold in one of Asia’s main offshore wind markets and strengthens the group’s position in this fast-growing segment, in line with its strategy of profitable development in renewables worldwide.
“Taiwan has been a pioneer in developing offshore wind in Asia. We are delighted to enter into this first partnership with wpd, one of the leading independent developers of offshore wind.”
The project is currently 48%-owned by wpd, 25% by Electricity Generating Public Company Limited and 27% by a consortium of Japanese investors led by Sojitz that also includes ENEOS Corporation, Chugoku Electric Power, Chudenko Corporation and Shikoku Electric Power.
The acquisition, which is subject to government approval, will broaden the group’s portfolio of offshore wind projects under development and construction that currently has a cumulative capacity of 5.5 GW.
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