Finnish renewable energy company Ilmatar Energy Oy disclosed on Wednesday that it has successfully secured financing for its ambitious Pahkakoski wind power project, poised to deliver approximately 200 megawatts of clean energy to Finland.
A consortium comprising KfW IPEX-Bank, Nordic Investment Bank, BNP Paribas, and Siemens Financial Services, operating through Siemens Bank, have committed to providing long-term debt financing for a significant portion of the project. Jani Nurmi, Ilmatar's Head of Commercial, confirmed that the remaining funds necessary for the project will be sourced internally from Ilmatar's own reserves.
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“Interest rate risk is mitigated through a long-term SWAP agreement,” Nurmi highlighted, emphasizing the financial strategy employed to safeguard against market volatility.
The investment decision for the Pahkakoski project was initially announced by Ilmatar in December 2023, marking a significant milestone in the company's renewable energy portfolio. Subsequently, construction commenced on the 30-turbine wind farm located in the municipality of Ii, Northern Ostrobothnia, signaling a tangible step towards bolstering Finland's renewable energy infrastructure.
See also: Ilmatar Completes Västervik and Isokeidas Wind Farms, Adding 87MW to Renewable Energy Portfolio
Upon completion, the Pahkakoski wind farm is projected to contribute approximately 600 gigawatt-hours of electricity annually to the national grid. Ilmatar anticipates that the project will reach fruition no later than 2026, further solidifying the company's commitment to advancing sustainable energy solutions in Finland and beyond.
