SIEMENS GAMESA RENEWABLE ENERGY, S.A. Polenergia and Equinor have signed EUR 1.8 billion worth agreements with Siemens Gamesa Renewable Energy for the supply and warranty service of 100 wind turbines for Baltic II and Baltic III offshore wind farm projects. As stated, the turbine supply agreements cover the design, engineering, delivery, installation supervision and commissioning of a complete set of 100 offshore wind turbines (50 for each project) with a maximum capacity of 14.4 MW each together with a WTG SCADA (Supervisory Control and Data Acquisition) system. The turbine supply contracts are conditional.
Their entry into force is subject to the contractor providing security and the project companies paying an advance. The contractor's total remuneration under the two turbine supply contracts is estimated to be around EUR 1.66 billion. This amount is not final and will be updated during the duration of the turbine supply contracts, as part of the contractor's remuneration is based on rates subject to indexation in terms of prices of certain materials and services, inflation, currency hedging or labour costs.
The project companies estimate the total amount of capital expenditure to be incurred under the turbine supply agreements, including in connection with the exercise of options, to be approximately EUR 1.8 billion. The conclusion of the turbine supply agreements requires the project companies to incur significant expenditures. The estimated CAPEX to be incurred prior to the final investment decision is approximately PLN 88 million (EUR 20.2 million) and approximately EUR 88 million.
Polenergia and Equin or, each have a 50% stake in the project companies of the Baltic II and Baltic III offshore Wind farms, and are jointly developing two offshore wind farm projects with a planned total installed electrical capacity of 1440 MW. The Baltic II and Baltic III farms, with a capacity of 1.44 GW, will be located at Leba, some 37 and 22 km from the shore. The final investment decision for these projects is expected in 2024 and the first electricity production in 2027.
