Octopus Renewables Infrastructure Trust (ORIT) has successfully completed the acquisition of four newly constructed solar farms near Dublin, Ireland, with a total capacity of 199MW. The solar farms were acquired from Statkraft Ireland, which developed and constructed the projects under the oversight of ORIT.
Following this acquisition, ORIT's operational renewable energy assets now reach a total capacity of 735MW. The solar farms were part of a conditional agreement between ORIT and Statkraft Ireland, with completion dependent on the sites achieving full operational status. These solar facilities began commercial operations in late December 2023, and ORIT has now finalized the acquisition.
The total cost of the acquisition amounted to €160 million, with financing facilitated through an €80.6 million debt facility provided by Allied Irish Banks and La Banque Postale. Microsoft has entered into a 15-year power purchase agreement (PPA) to procure the electricity generated by the solar farms, ensuring future revenue for ORIT from this solar complex.
Additionally, a fifth site with a capacity of 42MW is currently under construction nearby, expected to become operational in the third quarter of 2024. ORIT will acquire this project upon its operational commencement, which is also anticipated in the third quarter of 2024. The funding for this acquisition will involve an increase to the debt facility by up to €25.8 million, pre-agreed with the lenders.
Commenting on the completion of the substantial acquisition, Phil Austin, Chairman of ORIT, stated, “We are pleased to have completed this substantial acquisition, which sees ORIT become the owner of Ireland's largest solar complex which will deliver a substantial amount of green electricity. Projects like this are vital to accelerating the journey to net zero. We have been delighted to partner with Statkraft as a highly experienced developer and Microsoft as the offtaker.”
