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Key Insights
Scatec has secured BRL 150 million (US$27 million) in non-recourse project financing from Banco de Nordeste do Brasil for its 142 MW solar plant in Minas Gerais, Brazil.
The financing covers 30% of the total BRL 506 million (US$91 million) CAPEX, with commercial operation expected in the first half of 2026.
Scatec holds 100% ownership, plans to bring in equity partners post-COD, and will manage EPC, O&M, and asset management for the project.
A 10-year power purchase agreement with Statkraft covers 75% of the output, ensuring stable revenue for the utility-scale solar facility.
OSLO – Scatec ASA, a leading renewable energy producer, has announced the successful financial close for its 142 MW solar photovoltaic (PV) plant currently under construction in Minas Gerais, Brazil. This critical development, secured with Banco de Nordeste do Brasil (BNB), marks a significant step towards the project's commercial operation, anticipated in the first half of 2026.
The non-recourse project financing totals BRL 150 million (approximately US$27 million), representing 30% of the estimated total capital expenditure (CAPEX) of BRL 506 million (approximately US$91 million). This financial commitment from a prominent regional bank underscores the robust economic viability and strategic importance of the Rio Urucuia project within Brazil's rapidly expanding renewable energy matrix.
Terje Pilskog, CEO of Scatec, emphasized the strategic importance of this milestone, stating, “Securing long-term financing for Rio Urucuia is an important step in delivering this high-quality project and further strengthening our position in Brazil. Construction of the project is progressing as planned and we look forward to connecting our third solar project in Brazil in 2026.” This project builds on Scatec’s existing portfolio in Brazil, a market characterized by strong solar irradiation and a growing demand for clean energy.
In addition to the BNB financing, Scatec previously secured a €25 million debt facility from Impact Fund Denmark, which partially funds Scatec’s equity share. This brings Scatec’s expected equity injection by the Commercial Operation Date (COD) to BRL 201 million (approximately US$36 million). The diversified financing structure highlights a strategic approach to capital deployment for large-scale renewable assets.
The power generated by the Rio Urucuia plant is largely de-risked through a 10-year power purchase agreement (PPA) with Statkraft, covering approximately 75% of the expected output. The remaining generation capacity is slated for sale under a mix of short, medium, and long-term PPAs, optimizing revenue streams and market exposure. Scatec currently holds 100% ownership of the project, with plans to introduce equity partners post-COD to enhance value creation. Furthermore, Scatec will serve as the EPC manager with a limited contract scope, and will provide long-term operations & maintenance (O&M) and asset management services, ensuring efficient and reliable performance of the solar facility.