Masdar acquires stake in Montenegro’s first wind farm

Masdar will acquire 49% of Krnovo Green Energy, a subsidiary of Akuo Energy and Montenegro-based LLC

Abu Dhabi: Masdar, Abu Dhabi Future Energy Company, signed a share purchase agreement (SPA) with Akuo Energy, the leading French independent power producer (IPP) in renewable energy, to enter into the Krnovo Wind Farm, Montenegro’s first wind energy project.

The agreement was signed by Niall Hannigan, Chief Financial Officer of Masdar, and Eric Scotto, Chief Executive Officer of Akuo Energy, during Abu Dhabi Sustainability Week 2018 in the presence of Mohammad Jameel Al Ramahi, Chief Executive Officer of Masdar and other delegates.

Under the terms of the agreement, Masdar will acquire 49 per cent of Krnovo Green Energy, a subsidiary of Akuo Energy and Montenegro-based LLC owning the now operational 72-megawatt (MW) onshore wind farm.

Montenegro is a renewable energy leader in Europe, with more than 40 per cent of its domestic electricity consumption coming from clean energy sources.

Built in one phase, the Krnovo project comprises 26 GE wind turbines. Project financing was secured from the European Bank for Reconstruction and Development (EBRD), KfW IPEX-Bank GmbH, and the French development financial institution Proparco.

On stream since November 2017, the Krnovo wind farm is now supplying approximately 45,000 households under a 12-year power purchase agreement with the state utility Crnogorski operator tržišta električne energije (COTEE). It is also displacing an estimated 80,000 tonnes of carbon emissions annually.

Krnovo is Masdar’s second wind farm in the Western Balkans. Abu Dhabi’s renewable energy company is a partner in the 158MW Čibuk 1 wind farm in Serbia, the largest in the country, which secured financing in October.

“We’re excited to consolidate our presence in mainland Europe through Krnovo and to enter into a partnership with Akuo Energy, a proven renewable energy leader with a wide geographical reach,” said Mohammad Jameel Al Ramahi, CEO of Masdar. “Commercial renewable energy solutions have a critical role to play in Montenegro’s energy future, and our two companies are eager to support the country’s transitions towards cleaner energy sources.”

The Paris-based renewable energy company Akuo Energy SAS develops, finances, builds and operates solar, wind, biomass and hydro power plants. Established in 2007, the company whose headquarters are in Paris, France, operates in 13 other countries around the world.


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