Greencoat Renewables shares were up 0.8% to 1.1p in late afternoon trading on Friday after the firm announced its scheduled acquisition of the 134.4MW Ersträsk North Wind Farm in Norrbotten County, Sweden.
The company is set to acquire the wind farm from Enercon on a forward sale basis. The wind farm is currently under construction and is scheduled for commissioning in Q4 2023.
Greencoat Renewables reported it would provide long-term operations and maintenance services once the energy site was operational.
Ersträsk North is set to initially operate as a merchant asset, however it will have the flexibility to contract the electricity produced through a corporate PPA.
The wind farm represents the firm’s second acquisition in the region after its purchase of Ersträsk South wind farm in October 2021.
The acquisition of Ersträsk North will bring Greencoat Renewable’s total capacity in the sector to 235 MW.
“We are delighted to partner with Enercon and agree to acquire the Ersträsk North windfarm,” said Greencoat Renewable Capital partner Paul O’Donnell.
“Sweden is becoming a major hub for green energy, with the combination of low-cost generation and a number of attractive routes to market.”
“As the renewable generation market continues to develop, we expect to see greater opportunity in the unsubsidised renewables market and believe Greencoat Renewables is well positioned to benefit both across mainland Europe and in Ireland.”