Fid Financial Close

On 12 May 2009, DONG Energy, E.ON and Masdar announced that they had given the green light to build the first phase of the London Array offshore wind farm in the Thames Estuary, marking the Final Investment Decision for the project. The partners confirmed they would invest DKK 16.4 billion in constructing the initial 630 MW phase, with DONG Energy’s CEO explicitly stating that they “today also have the final investment decision on the London Array project.” This decision followed the UK Government’s move to increase support for offshore wind through a higher Renewables Obligation Certificate (ROC) level, which the partners said made the scheme financially viable. The consortium’s shareholdings were set as DONG Energy 50%, E.ON 30% and Masdar 20%. The announcement framed London Array as a landmark development that, once fully built to 1,000 MW across two phases, would be the world’s largest offshore wind farm and the first to surpass 1 GW of capacity. The first 630 MW phase would comprise 175 turbines located about 12 miles off the coasts of Kent and Essex on a 90-square-mile site, with first power targeted for 2012. The FID enabled preparations for onshore works to start in the summer of 2009 and offshore works in early 2011, positioning the project as a cornerstone of both the developers’ renewable strategies and the UK’s climate and energy goals.