Abu Dhabi's Taqa to sell US wind farm stake

Date

12/31/2015 8:34:31 PM

(MENAFN- Khaleej Times)

Abu Dhabi National Energy Co or Taqa received regulatory approval in the United States to sell its entire stake in a 205.5MW wind farm in Minnesota to Qatar-based private equity fund Nebras Power.

The Qatari fund will buy a 50 per cent stake in LWP Lessee the manager and operator of the Lakefield Wind Project according to the Federal Energy Regulatory Commission ruling Bloomberg reported.

"Terms of the deal which has yet to be finalised were not disclosed" it said.

Qatar Electricity & Water owns 60 per cent of Nebras. Qatar Petroleum International and Qatar Holding each hold 20 per cent stakes in the company.

Earlier in the month Taqa told US regulators that it intends to sell its 50 per cent interest in the wind farm in southern Minnesota.

The Lakefield Wind Project consists of 137 turbines across roughly 20000 acres of Jackson County farmland for more than 68000 homes.

Under the deal Taqa's 50 per cent ownership interest in Lakefield would be sold for an unspecified amount to Nebras Power a Qatari firm involved in power generation and water salination projects. A tentative deal was struck between the two companies in September according to Federal Energy Regulatory Commission filings and could be finalised in early 2017.

Taqa is a diversified company with fossil hydro and renewable energy assets in the Middle East Europe Africa India and North America. The Abu Dhabi energy company initiated the Lakefield sale earlier this year after deciding the wind project was not central to the company's operations.

The electricity is sold to Indianapolis Power & Light Company a subsidiary of AES Corporation under a 20-year power-purchase agreement.

Taqa's roots lie in the provision of power and water desalination capabilities in Abu Dhabi and this has remained a key part of its business. The energy company owns a majority interest in eight power generation and water desalination facilities in the UAE and provides more than 90 per cent of Abu Dhabi's electricity and water requirements.

Building on its position as an established and trusted utility company Taqa has expanded its power operations to include six countries outside the UAE - Ghana India Morocco Oman Saudi Arabia and the US.

Taqa has a total gross power generation capacity of 17300 MW and a water desalination capacity of 887 MIGD.

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