Keppel Buys Stake in 465 MW Offshore Wind Farm in Germany for $314 Million

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Singapore-based Keppel Corporation and the trustee manager of Keppel Infrastructure Trust (KIT), Keppel Infrastructure Fund Management (KIFM), announced a joint investment of €305 million (~$314 million) to acquire a 50.01% stake in a special purpose vehicle (SPV) holding 50% of the equity in a  465 MW offshore wind farm in Germany.

The wind farm, Borkum Riffgrund 2 (BKR2), is wholly owned by Thailand’s private power producer Gulf International Holding.

According to Keppel Corporation, Gulf would retain a 49.99% stake in the SPV post-acquisition, while offshore wind power company Orsted owns the remaining 50% stake in the BKR2 wind farm.

BKR2 holds a 20-year power purchase agreement and a 20-year operations and maintenance agreement until 2038 with Ørsted, which will continue to operate the wind farm.


The stake purchase is the second investment by Keppel in the renewable sector. In July, Keppel announced an investment in onshore wind farm assets across Sweden and Norway.

The 465 MW BKR2 offshore wind farm is 59 km off the Lower Saxony coast in the North Sea, Germany. The region offers high wind availability.

Keppel’s total renewable portfolio will stand at approximately 2.2 GW after the completion of the investment.

KIFM intends to fund the investment with an optimal combination of internal sources of funds, equity or debt capital market issuances, or external borrowings. Keppel, through its wholly owned subsidiary, KRI, will also fund its share of the investment.

In July this year, Keppel Energy Nexus was awarded a grant by the Energy Market Authority and JTC to pilot Singapore’s only membrane-based nearshore floating solar system at Jurong island, formed from the amalgamation of seven offshore islands. With an installed capacity of 1.5 MW, the pilot system comprises three circular platforms for the modules to ensure the lowest material usage of any floating system, enabling lower levelized energy cost clubbed with resource conservation.