German energy company RWE AG has acquired a majority stake in R3 Renewables LLC, a joint venture with U.S. coal miner Peabody Energy, focused on developing 5.5 GW of solar and energy storage projects on reclaimed mining land. Peabody will retain a 25% stake in the venture. The deal also involves RWE purchasing the shares of Peabody's joint venture partners, Summit Partners Credit Advisors and Riverstone Credit Partners.
R3 Renewables was established to repurpose former coal mining sites for large-scale solar and energy storage projects. The joint venture is currently developing 10 potential projects in Indiana and Illinois.
RWE will take ownership of seven of these projects, while partnering with Peabody to continue developing the remaining three. These projects are expected to provide renewable energy to over 850,000 homes in the Midcontinent Independent System Operator (MISO) region.
Andrew Flanagan, CEO of RWE Clean Energy, stated: “This partnership is an exciting opportunity for RWE to invest in rural regions of Indiana and Illinois and bring strong economic development.”
