TotalEnergies has signed an agreement with European Energy to develop offshore wind projects in Denmark, Finland and Sweden.
The agreement entails the acquisition by TotalEnergies of an 85% equity stake in the Jammerland Bugt offshore wind project (240MW) and a 72.2% equity stake in the Lillebaelt South nearshore wind project (165MW), both of which are in Denmark.
The two sites are included in the nine open-door projects that were confirmed by the Danish Energy Agency in December 2023 and have obtained exclusivity and grid connection permits.
The final construction permits are expected in mid-2024 and start up by 2030.
The electricity generated will be sold directly on the electricity wholesale market or through corporate power purchase agreements (CPPAs).
The partners also intend to develop and operate new offshore wind projects in Sweden and Finland through a joint venture, and to bid for the upcoming offshore wind tenders in Denmark.
TotalEnergies will contribute its experience in large-scale projects and its ability to market the offtake in merchant markets, while European Energy has a track record in developing greenfield projects and engaging successfully with stakeholders in these countries.
“We are delighted to expand our collaboration with European Energy. These new offshore wind projects in Denmark are aligned with our strategy of developing renewable projects in merchant countries at competitive cost.
“This partnership will allow TotalEnergies to take advantage of European Energy’s longstanding presence in northern Europe to expand its business there,” said Vincent Stoquart, Senior Vice President, Renewables at TotalEnergies.
Knud Erik Andersen, Group CEO at European Energy, added: “We are excited to contribute our deep knowledge of the Nordic energy market to this venture, ensuring the successful realisation of these ambitious projects.”
This agreement for offshore wind projects follows a previous agreement between TotalEnergies and European Energy in September 2023 to jointly develop, build and operate onshore renewable projects in multiple geographies.