Denmark’s export credit agency EIFO is providing a £500 million guarantee to support the £4 billion East Anglia 3 offshore wind project, located off the coast of Suffolk in the UK, the agency said on Wednesday.
The backing forms part of the project’s £3.6 billion non-recourse financing, which involves 23 international banks. EIFO was invited exclusively by Spanish energy company Iberdrola to participate in the transaction.
“This milestone demonstrates the role export finance can play in delivering the green transition, and the need for innovative financing solutions to realise the critical projects required to reach decarbonisation and energy security goals,” said Peter Boeskov, EIFO’s chief commercial officer.
The East Anglia 3 development, led by Iberdrola subsidiary ScottishPower Renewables, marks Iberdrola’s first offshore wind project to be financed outside its own balance sheet. It is also EIFO’s first project finance guarantee for a company owned by Iberdrola.
The wind farm will feature 95 Siemens Gamesa turbines, each with a capacity of 14.7MW, delivering a total of 1397MW. It is expected to become operational by the end of 2026. Installation is being carried out by Denmark-based firm Cadeler, while cable infrastructure is being supplied and installed by NKT.
“This financing is highly strategic for Iberdrola,” said Jose Sainz Armada, Iberdrola’s chief financial officer. “It reflects not only the quality of the project, but also Iberdrola’s ability to mobilise capital with key international players such as EIFO.”
Around 70% of the total project cost will be covered by senior debt, with the remaining 30% financed through equity provided by Iberdrola’s shareholders.
Participating financial institutions include BBVA, HSBC, ING, NatWest, SMBC, MUFG, Bank of China, Crédit Agricole, CaixaBank, Santander, BNP Paribas, Helaba, Barclays, ANZ, Rabobank, FAB, ICO, Abanca, Kutxabank, Standard Chartered, Bank of Ireland CIC, and Siemens Bank.
Financial advisory services were provided by Crédit Agricole CIB and MUFG, while legal counsel to the borrower was handled by A&O Shearman.
East Anglia 3 is part of the wider East Anglia offshore wind cluster, which is planned to deliver up to 3.8GW of capacity. According to ScottishPower Renewables, the project will supply clean energy to more than 1.3 million homes and is expected to significantly reduce annual CO₂ emissions.
