Orsted Finalizes Agreement to Divest 50% Equity Stake

Orsted (CSE:ORSTED) has finalized an agreement to divest a 50% equity stake in three onshore projects in the United States. Valued at $572 million, the deal is with Energy Capital Partners (WA:CPAP) and includes two solar farms in Texas and a combined solar and battery storage project in Arizona.

Details of the Transaction

The transaction encompasses the following projects:
– Mockingbird Solar: 468-megawatt solar farm in Texas
– Sparta Solar: 250-megawatt solar farm in Texas
– Eleven Mile Solar Center: 300-megawatt solar power capacity and an additional 300 megawatts/1,200 megawatt-hours of battery storage capability in Arizona

These projects are expected to commence operations in 2024 and are already backed by tax equity partnerships and power purchase agreements.

Strategic Move for Orsted

Orsted retains a 50% equity ownership in the projects and will continue to manage their operations, ensuring ongoing involvement in their performance and management. The partnership highlights the growing interest and investment in renewable energy infrastructure in the United States.

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