Brief: Orlen Conditionally Decides To Launch Construction Of Offshore Wind Farm

Northland Power (Ontario)

11/08/2023 06:32

Aug 11 (Reuters) - Orlen SA  PKN.WA :
    * SAID ON THURSDAY THAT SUPERVISORY BOARD HAS ADOPTED A
RESOLUTION
ON THE CONDITIONAL INVESTMENT DECISION REGARDING THE LAUNCH OF A
PROJECT FOR CONSTRUCTION OF AN OFFSHORE WIND FARM LOCATED IN THE
POLISH EXCLUSIVE ECONOMIC ZONE ON THE BALTIC SEA WITH A MAXIMUM
CAPACITY UP TO 1200 MW  
    * THE PROJECT WILL BE CARRIED OUT BY BALTIC POWER BASED ON A
JOINT
VENTURE AGREEMENT IMPLEMENTED BY ORLEN, BALTIC POWER AND NP
BALTIC WIND B.V., A COMPANY FROM THE NORTHLAND POWER INC.
CAPITAL GROUP
    * COMPANY HOLDS OVER 51% STAKE IN BALTIC POWER
    * THE TOTAL FINANCE PLAN FOR THE PROJECT IS ESTIMATED AT
ABOUT EUR
4.73 BILLION AND COVERS CAPITAL EXPENDITURES AND CONTINGENCY (IN
THE AMOUNT OF EUR 4.05 BILLION), AS WELL AS FINANCING COSTS AND
ADDITIONAL RESERVE
    * START OF CONSTRUCTION OF THE OFFSHORE WIND FARM IS PLANNED
FOR
2023 AND COMMERCIAL OPERATIONS ARE PLANNED FOR 2026
    * STAKEHOLDERS OF THE PROJECT ASSUME THAT FINANCING OF THE
PROJECT
WILL BE REALIZED IN THE PROJECT FINANCE FORMULA, I.E. A MODEL
WHERE THE REPAYMENT OF THE LOANS AND LETTERS OF CREDIT GRANTED
TO BALTIC POWER BY BANKS AND OTHER POLISH AND FOREIGN FINANCIAL
INSTITUTIONS WILL BE BASED ON FUTURE CASH FLOWS GENERATED BY THE
PROJECT

        
 Source text : https://shorturl.at/oxAY5
 Further company coverage:  PKN.WA  

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