Italian oil major Eni, through its Gas e Luce subsidiary, has struck deals that will see it boost its portfolio of wind and solar projects in France and Spain.
Eni revealed Monday it had struck a deal to acquire Madrid-based Dhamma Energy Group from the relevant founding partners, however no price for the deal was disclosed.
Dhamma’s portfolio of assets includes a pipeline of projects at various stages of development for almost 3 gigawatts in both France and Spain, and includes plants already in operation or in advanced development in France for around 120 megawatts.
“This transaction will help to boost our renewable power generation capacity in accordance with our growth strategy by continuing to expand in Spain and especially by launching our presence in the renewables sector in France, where Eni Gas e Luce already has a solid presence and a significant customer base," said Eni chief executive Claudio Descalzi.
"For Eni Gas e Luce, France and Spain are pivotal markets in which the company will increasingly enhance its value through the integration between retail and renewables”
Eni noted that the team "contributed to Dhamma's success" would be integrated into Gas e Luce to help further build the subsidiary's renewable projects portfolio.
- Read more: Eni has since launched one of the largest solar farms in France after wrapping up the acquisition of Dhamma Energy.
Spanish solar deal
The deal with Dhamma came as Eni also announced on Monday it had signed an agreement with Azora Capital to buy a 1.2-gigawatt wind and solar portfolio in Spain.
The transaction includes the acquisition of three wind farms with a combined capacity of 230 megawatts that are already operational in the central and northern area of the Iberian country.
The remaining 1GW comes from five large solar projects under construction or in advanced development that are slated to enter production by 2024.
“This operation allows us to increase our renewable power generation capacity with immediate effect, in compliance with our plan targets, and at the same time to reinforce our growth prospects through a pipeline of solar projects in a strategic market like the Spanish one,” said Descalzi.
“Eni Gas e Luce is now working on this project with a strong Spanish partner as Azora and its boosting its renewables supply, with the aim of providing even more decarbonised energy to its customer base.”
The purchase in the booming Spanish renewables market comes as Eni targets to develop 5GW of renewable generation capacity by 2025, as it pursues a goal of carbon neutrality by 2050.
Eni in February of this year had already signed an agreement with X-Elio to buy three solar projects in southern Spain that have a combined capacity of 140MW.
(This article first appeared in Upstream's renewable energy sister publication Recharge on 26 July, 2021)