ENGIE announces today the signing of an agreement with Riverstone Holdings LLC, a global energy-focused investment firm, for the sale of its shares in coal-fired power plants in the Netherlands and in Germany.
The assets sold are the coal-fired power plants of Rotterdam (1) in the Netherlands, Farge (2), Zolling (3) and Wilhelmshaven (4) in Germany. These assets represent a total installed capacity of 2,345 MW. The proposed transaction will reduce ENGIE’s net consolidated debt by approximately 200 million euros. This sale is subject to customary conditions, with closing expected during the second semester 2019.
After this sale, coal will represent 4% of ENGIE’s global power generation capacities, down from 13% at the end of 2015 when the Group announced that it would gradually close or dispose of its coal assets and no longer build any new coal plants. In the past 3 years, ENGIE has reduced its coal-based electricity generation capacity by approximately 75%.
Isabelle Kocher, ENGIE CEO, said: “This transaction is fully in line with the Group's strategy to be the world leader in the zero-carbon transition. We are focusing investments on solutions for corporates and local authorities, large-scale development of renewable energy and the necessary adaptation of power and gas networks to the energy transition. We will allocate 12 billion euros to these activities from 2019 to 2021, as previously announced during our Capital Market Day held this past February 28th”.
As a leading actor in the energy sector in Germany and the Netherlands with 11,000 employees, ENGIE will pursue investments in these two countries with the ambition to lead and speed up the zero carbon transition for all its clients.
(1) 731 MW – 100% ENGIE shareholding
(2) 350 MW – 100% ENGIE shareholding
(3) 472 MW – 100% ENGIE shareholding, in addition a biomass power plant (21 MW, a 50% ENGIE owned unit) and gas turbines (46 MW, 100% ENGIE shareholding)
(4) 726 MW, 52% owned by ENGIE