Masdar and Iberdrola reach $6bn deal on gigascale UK offshore wind project
Co-investment in 1.4GW East Anglia 3 project follows strategic partnership and negotiations with Middle Eastern renewables giant to buy half of UK project
Spanish and Middle Eastern renewable giants Iberdrola and Masdar have reached an agreement to co-invest €5.2bn ($6.1bn) in the UK’s 1.4GW East Anglia 3 offshore wind project – which they claim to be the largest offshore wind transaction of the decade.
Under the agreement, each company will have a 50% stake in and co-governance of the asset.
Project financing for East Anglia 3 was signed for approximately £3.5bn ($4.8bn) yesterday with 24 international banks. It will cover a substantial part of the total costs of the project, Iberdrola said.
“Partnerships such as this one are vital in accelerating energy security and competitiveness and working towards delivering ambitious climate targets. With Masdar, we have a partner who shares our vision and commitment,” Galan said.
“Joining forces with Masdar in the East Anglia Three offshore wind farm will allow Iberdrola to accelerate our strategic focus on the UK, where we are investing £24bn to 2028 in transmission and distribution networks and in renewable energy, contributing to the delivery of the UK government’s ambitious electrification plans."
Masdar chairman Sultan Al Jaber, also the UAE’s minister of industry, added: “Masdar and Iberdrola are continuing to forge one of the largest and most powerful strategic clean energy partnerships to accelerate capacity growth in Europe and worldwide.
“Offshore wind will play a crucial role in the global energy transformation… With demand surging due to exponential AI growth and the rise of emerging markets, projects such as these have never been more critical."
East Anglia 3 is located off the Suffolk coast in England and once it becomes operational in late 2026 will be one of the world’s largest offshore wind farms, Iberdrola claims, producing enough power for 1.3 million British homes.
The project had won a 15-year CPI-linked contract for difference (CfD) awarded in the UK government’s AR4 and AR6 auctions, as well as a power purchase agreement (PPA) with Amazon signed in 2024 and will support more than 2,300 jobs to be created during construction.
“Our strategic co-investments with Iberdrola in East Anglia Three and Baltic Eagle demonstrate how ambitious cross-border partnerships can deliver transformative impact at scale,” Masdar CEO Mohamed Jameel Al Ramahi said.
The Middle Eastern company targets having 100GW of clean energy capacity running by 2030. In Europe it is also present in Greece, where it bought Terna Energy in 2024, and in Spain, where it acquired Saeta Yield.
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