Enbridge buys interest in $650M US wind farms
Calgary-based energy company is in for 80% of two projects.
CALGARY — Enbridge Inc. is buying an 80% interest in two wind farms valued at US$650 million in the US from E.ON, an investor-owned power and gas company.
The 203-megawatt Magic Valley 1 wind farm located near Harligen, Tex. and the 202-megawatt Wildcat 1 wind farm near Elwood, Ind. are operational and came into service in 2012. The two wind farms provide enough power for more than 120,000 households.
“This strategic investment provides a significant contribution to our growth targets in power generation,” said Vern Yu, senior vice-president of corporate development for Enbridge. “The transaction extends our renewable platform in the US, complementing our existing wind farm presence in Texas and establishing Enbridge in the Indiana renewable market.”
Enbridge says it has invested approximately $3 billion in renewable energy assets over the past five years. With the acquisition of the two wind farms, Enbridge’s total net generating capacity of green power projects comes to more than 1,600 megawatts.
E.ON will retain a 20% interest and remain the operator of the wind farms. The German company operates more than 2,700 megawatts of renewable capacity in the US.