Northland Power Inc. has announced it has entered into agreements for the rights to acquire a majority equity stake in Gemini, a 600MW offshore wind project currently in development. Gemini is located 85 kilometres off the coast of the Netherlands in the North Sea.
Northland has entered into agreements with a team of offshore developers and contractors. The team includes Typhoon Offshore B.V., Siemens (via Siemens Financial Services), Van Oord Dredging and Marine Contractors B.V. and HVC N.V., a joint venture of 48 Dutch municipalities and six water regulatory authorities. Northland intends to actively participate in Project Gemini by taking a lead role during the remainder of development as well as construction and operations. Northland's final investment is subject to meeting conditions for closing, formal documentation and the approval of Northland's Board of Directors. Upon closing, Northland will acquire a 55% interest in Gemini. Project Gemini's total cost is projected to be CAN$ 3.8 billion, and is expected to be financed with a combination of non-recourse project debt, mezzanine financing and equity from the consortium. Northland's total net investment will be approximately CAN$ 400 million. Construction of Gemini is expected to start in late 2014 and is expected to reach commercial operations in 2017.