Spain-headquartered Iberdrola has secured a EUR 500 million loan from Citi, partly guaranteed by the Norwegian Export Credit Agency (Eksfin), to support the development of the 1.4 GW East Anglia Three offshore wind farm in the UK.
The loan has a drawdown period of two years. According to Iberdrola, it will improve the company’s liquidity position, which at the end of the first quarter of 2023 exceeded EUR 21 billion.
Iberdrola has strong relationships with Norwegian partners. The company is active in offshore wind development in Norway with its partners TotalEnergies and Norsk Havvind.
This loan will support the company’s aim of diversifying financing, which combines various sources: financial institutions, development banks such as the World Bank and European Investment Bank, the market and export credit agencies.
With this loan, Iberdrola says to have consolidated more than EUR 50 billion to date, of which nearly EUR 18.5 billion is tied to green bonds.
Located approximately 70 kilometres from shore in the southern North Sea, the 1.4 GW East Anglia Three was awarded Contracts for Difference (CfD) in July last year from the UK Government.
The project will feature 95 Siemens Gamesa 14+MW wind turbines installed in the North Sea covering an area of 305 square kilometres.
East Anglia Three is planned to be fully operational in 2026 when it will generate enough power to supply 1.3 million homes with clean energy.
The wind farm is part of ScottishPower Renewables’ GBP 6.5 billion (around EUR 7.4 billion) East Anglia Hub project which also includes two other offshore wind farms: the 800 MW East Anglia One North and the 900 MW East Anglia Two.