London Array, a joint venture owned by DONG Energy (50%), E.ON (30%) and Masdar (20%), has signed an agreement with Blue Transmission London Array Ltd. for the sale of transmission assets at the world's largest offshore wind farm.
The 630 MW London Array Offshore Wind Farm is located about 20 km off the coasts of Kent and Essex in the U.K. and comprises 175 Siemens 3.6 MW turbines.
The divestment takes place pursuant to the Offshore Transmission Owner (OFTO) regime. Following a competitive tender, Blue Transmission London Array Ltd. was selected by Ofgem in September 2012 as the preferred bidder for the London Array offshore transmission license.
With an asset value of about $730 million for the entire transmission assets, this is the largest transaction to date in the OFTO regime, according to London Array. The divestment is expected to close later this month.
Blue Transmission London Array Ltd. is the licensee entity incorporated by the consortium of Barclays Infrastructure Funds Management Ltd. and Diamond UK Transmission Corp. (a wholly owned subsidiary of Mitsubishi Corp.), advised by Macquarie Capital.
London Array has been selected by Blue Transmission to provide operations and maintenance services to the transmission link connecting the wind farm to the onshore grid.