2 minutesOn October 1st 2020, HΕLLENIC PETROLEUM SA through its wholly owned subsidiary, ELPE RENEWABLES, completed the acquisition of a powerful portfolio of Photovoltaic projects at final permitting stage, in the wider Kozani region, Greece, from JUWI, a leading international Renewable Energy Sources developer, based in Germany.
When completed, the PV project will be the largest-scale RES initiative project in Greece and one of the biggest PV projects in Europe with a total planned installed capacity of 204 MW. The total cost of the investment is estimated at 130 million euros, with more than 35% of materials, equipment and employment sourced from Greece, while during the construction stage of the project over 350 jobs opportunities are expected to be generated locally. The project comprises the construction of 18 PV systems spanning over an area of 4,400 acres, whilst the works are scheduled to start within October and last 16 months, so that the project can be fully operational by the first quarter of 2022.
The annual power generation is estimated at 350 Gwh, which is enough to supply over 75,000 households with clean, zero-emission energy and achieve a 320,000-ton annual carbon dioxide emission benefit, equivalent of 1.1m. acres of forest area. The project brings forward the implementation of the mid-term strategic goal set by the HELLENIC PETROLEUM Group Management team, envisaging 600 MW in installed RES capacity by 2025 and a 50% improvement of the Group’s environmental footprint by 2030.
Furthermore, on October 5th, 2020, HELLENIC PETROLEUM FINANCE PLC, a wholly owned subsidiary of HELLENIC PETROLEUM SA, successfully priced €99.9m of new notes principal amount, with a yield of 2.42%. These form a single series with HPF’s existing notes due October 2024 and were offered through a private placement. The issue of the New Notes was subscribed by selected institutional investors, with the European Bank for Reconstruction and Development participating at 75% of the issue.
The transaction supports the improvement and diversification of the Group’s funding mix, thus establishing its consistent presence in international capital markets, with the participation of major financial institutions,. At the same time, it achieves a further reduction of the financing cost. The capital raised will be used exclusively for the implementation of this major RES Project in Kozani.
Andreas Shiamishis, HELLENIC PETROLEUM CEO commented: “We are very pleased to announce the completion of the acquisition of the PV RES project in Kozani and at the same time, the securing of its financing. This reconfirms our commitment to accelerate the implementation of our clean energy transition strategy and portfolio diversification, despite the COVID-19 crisis. At the same time, we ensure material contribution for both the local and the national economy. Moreover, the successful retap of our ’24 bond, under extremely favorable terms, in this volatile environment, and the participation of the EBRD constitute a vote of confidence in the Group’s strategy for a diversified model and improved environmental footprint.”
