Greencoat buys Slieve Divena II – Greencoat UK Wind has agreed to acquire Slieve Divena II wind farm from SSE Renewables for £51m.
Slieve Divena II is located approximately 10 miles south east of Omagh in County Tyrone, Northern Ireland, and has a capacity of 18.8MW. Slieve Divena II was constructed by SSE Renewables and has been operational since June 2017. The wind farm receives a subsidy based on 0.9 ROCs per MWh and has a load factor (average output divided by theoretical maximum output) of 31.3%.
Slieve Divena II is adjacent to Greencoat’s Slieve Divena wind farm, which was bought by the fund in August 2017, and will also be managed by SSE Renewables. As with Slieve Divena, SSE Airtricity (SSE’s retail brand in Northern Ireland) will buy the electricity produced under a long-term power purchase agreement.
Tim Ingram, the chairman, said: “We are delighted to acquire our eighth wind farm from SSE, which is testament to the longstanding relationship we have developed. Slieve Divena II is a high quality, ROC-accredited asset sitting alongside our Slieve Divena wind farm and is a natural addition to our portfolio of operating UK wind farms, which now has a net generating capacity of almost 1GW.”
The acquisition was funded from cash and debt. Following the acquisition, UKW’s total borrowings will amount to £627m, equivalent to 25% of the fund’s gross asset value (its gearing limit is 40% of GAV).
UKW : Greencoat buys Slieve Divena II