Financial close delayed for 600MW Gemini

Equity partners on board, says Typhoon Offshore

Typhoon Offshore has pushed back financial close for its 600MW Gemini project to the end of this year, rather than the summer, Windpower Offshore has learned. This means that construction is now scheduled to begin in summer 2014.

The cause of the delay is the need to secure final approval for Typhoon’s revised project design, which the developer undertook after it purchased the project from Bard in 2011. Dutch utility HVC also owns a 15% stake in the project.

Permitting has taken longer than expected, explained Typhoon’s Marcel van den Berg, speaking with Windpower Offshore. The Dutch Ministry of Economic Affairs, Agriculture and Innovation has indicated it will announce its decision in May.

In the meantime, Typhoon has made progress in securing finance. The European Investment Bank has agreed a loan of €500m and equity partners are in place, though their names cannot yet be revealed, says van den Berg. Negotiations are underway regarding debt funding and several export credit agencies have agreed terms, he added.

Gemini’s finance structure will be 70% debt, 15% equity and 15% mezzanine debt, with total investment estimated at €2.6bn.

The Dutch government has granted the project support under its renewables incentives programme (SDE), up to a maximum of €4.4bn. The SDE ensures producers a fixed price per kilowatt hour for 15 years.  Siemens’ new 4MW turbine will power the project and will be installed in two tranches of 300MW each. Van Oord is due to install monopile foundations.

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