Orlin initiates an investment of PLN 20 billion

Orlin begins construction of the first Polish offshore wind farm. As the company emphasizes, Baltic Power is the largest investment in green energy in Central Europe.

• Orlin made the final investment decision regarding the construction of the first Polish wind farm in the Baltic region.
• The investment, which will add approximately 1.2 GW of capacity to the Polish system in 2026, will be implemented jointly with Canada’s Northland Power.
• The total budget of the project is estimated at approximately 4.73 billion euros, or about 20 billion Polish zlotys.

The final investment decision announced today means that the company has a set of permits to build Poland’s first offshore wind farm, and has secured all project components and financing.

The farm will be built about 23 km from the coast, near Lipa and Chukziu, and will consist of 76 wind turbines with a unit capacity of 15 MW. Installation of the farm’s foundations will begin in 2024. Upon completion of construction in 2026, the facility will begin producing energy, which – Orlin announced – will power more than 1.5 million homes. A land-based power station is currently being built that will enable energy to be collected from the sea.

The Baltic Energy Farm is the largest renewable energy investment in the Central European region

– We begin construction of the first offshore farm in the Baltic Sea with a capacity of 1.2 GW. The investment value is PLN 20 billion. This is an important step towards transformation,” said Daniel Obajtek, President of Orlin, during the ceremony announcing the final investment decision.

President Orlen stressed the importance of investing in the local economy and noted that a factory for the Danish company Vestas is being built in Szczecin, where turbines for offshore wind farms will be produced.

– Świnoujście became an external centre. The energy heart of the country is moving to the West Pomeranian province – Anna Łukaszewska-Trzeciakowska, State Commissioner for Strategic Energy Infrastructure, said during the ceremony, noting that this is the area where the LNG terminal is located, and this is where the pipeline is located. Baltic pipes. and the seaports which last winter provided an adequate supply of coal.

– This is one of the largest offshore projects in the world and is an example of excellent cooperation between Orlen and Northland Power, two companies from two different parts of the world. Poland is currently one of the main offshore markets – said Mike Crowley, President of Northland Power, during the ceremony, noting that investors in offshore wind energy are attracted here by several factors – a careful regulatory framework and ambitious development goals for the offshore sector as well as a rapidly growing economy in need of energy. , and clean energy, also from the Baltic Sea.

Baltic Power has contracts with key contractors and suppliers to secure the entire supply chain – production, transportation and installation of all major components of the farm.

The total budget of the project is estimated at approximately 4.73 billion euros, and includes capital expenditures with insurance amounting to approximately 4.05 billion euros, in addition to financing costs and an additional reserve. The investment financing will be carried out in a project financing format, which means that it will be based primarily on the assessment of project profitability and the profitability of a particular project. This formula also allows diversification of investment risks.

The contractor for the ground portion of the station is Budimex. Work on the construction site has already begun and is scheduled to be completed in early 2024 and 2025.

Let us remind you that Orlen is building the Baltic Power Farm in cooperation with its Canadian partner Northland Power.

5 years of preparations to start construction of the first offshore wind farm

According to Orlin, until the final investment decision was announced, a number of works had been carried out to enable the project to begin. Among other things, wind measurements, environmental tests and geotechnical tests were carried out, on the basis of which the design work was carried out.

During the five and a half years of project preparation, the Baltic Power team obtained 7 building permits, requiring over 150 administrative approvals, obtained from 40 different institutions. The construction documents for the farm itself amount to more than 10,000 pages, and the number of all materials prepared by the Baltic Power team at that time is approximately 320,000 documents and studies.

Construction of an installation station for offshore wind farms in Świnoujście has also begun

As part of preparing the installation infrastructure for the marine industry, the company has also started the construction of a terminal in the port of Świnoujście.

– Today we also started the construction of the installation port in Świnoujście. One of the most modern in Europe. Without the logistics needed to secure the business, we would not be able to obtain financing. This means 20 billion Polish zlotys and 25 financial institutions from Poland and from all over the world believe in the profitability of this project. All these investments mean more than 1,000 job opportunities – Daniel Obajtic emphasized during the event.

The investment is carried out by a subsidiary of Orlen Neptun. The station’s docks and storage yards will enable the transportation and assembly of the latest wind turbines with a capacity of 15 MW and more.

The plant will be used primarily to implement the Baltic Energy Project, but Orlen plans to use it to implement further investments in the Baltic Sea, not only its own investments, but also those of other developers who are planning external investments in Germany, Sweden or Germany. Danish water.

Let us remind you that Orlen has just received concessions to build 5 more offshore wind farms in the Baltic Sea with a total capacity of 5.2 GW. Four of the five licenses are located in Oder Bank, near Kolobrzeg, near the station under construction in Świnoujście. The fifth site is located on the bank of Słupsk and borders the area where the Baltic Power Farm is being built. Aurelien Neptune is responsible for its implementation.