Enlight Renewable Energy signs agreements for acquisition of 113 MW Picasso wind project in Sweden

Enlight Renewable Energy has announced that it has signed a series of agreements to acquire, invest in and construct a 113 Megawatts wind farm in Sweden which is in ready to build status. The Picasso project is located in southern Sweden and is expected to include 27 wind turbines of 4.2 megawatts each. The project has completed all material development processes. Initial construction works will commence immediately, and Enlight estimates that the financial closing of the project will be completed in the fourth quarter of 2019, with commercial operation expected in the first half of 2021.

The total investment in the project is estimated at EUR135 million (US$153.5 million) to EUR140 million (US$159 million), including the agreements for construction, management and acquisition of rights in the project company. Enlight estimates that the equity required for the project will be approximately 40%-45% of the total investment.

The project company will sell approximately half of the electricity produced by the facility for the first 12 years under a commercial agreement for the sale of electricity, and the balance of production will be sold on the electricity market of northern Europe, the Nord Pool, which is Europe's largest electricity market. Enlight is under negotiations for PPA as part of which the price of electricity for said production is fixed for a period of 12 years.

The supply and service agreements for the turbines were signed with Vestas, and include a guarantee for a lifespan of 30 years for the turbines. The contractor for the balance of plant construction is Svevia.