Ignitis Group and Ocean Winds are provisional winners in 700 MW Lithuanian offshore wind tender

AB “Ignitis grupė” (hereinafter – the Group) informs that its subsidiary UAB “Ignitis renewables” (hereinafter – Ignitis Renewables) together with the strategic partner for the development of offshore wind farm projects, Ocean Winds (hereinafter – OW), are expected to be announced as the provisional winners of the 700 MW Lithuanian offshore wind project’s tender as they submitted the highest development fee. The bid price was EUR 20 million.

The real-time bidding process of the first Lithuanian offshore project’s tender began on Friday, 7 July 2023, and was completed on Monday, 10 July 2023. Based on the tender procedures, the provisional winner is due to be confirmed by the Lithuanian National Energy Regulatory Council (hereinafter – the NERC), which oversees the process, no later than the next day after the bidding process has closed.

The winner of the tender will be announced after the screening of compliance with national security interests that is expected to be finished at the beginning of Q3 2023. More information on the tender is available on the NERC’s website (link).

Afterwards, the next steps would include Ignitis Renewables and OW setting up a joint company, which would be awarded the development and operation permit, granting the right to use the maritime area for 41 years.

The maritime area for the 700 MW capacity offshore wind farm development is located at approx. 30–36 km from Lithuania’s Baltic Sea coast, covering an area of approximately 120 km². Subject to obtaining the relevant permits, contracting suppliers and securing financing, the project is expected to become operational until 2030. It should generate up to 3 TWh of electricity, which would meet up to 25% of Lithuania’s current electricity demand. The offshore wind farm will operate under market conditions.

Information provided in this announcement does not change the Group’s Adjusted EBITDA guidance.

By winning the tender, the Group will achieve its strategic goal of securing one offshore wind development project in Lithuania (with COD until 2030), which is a substantial step towards the Group’s objective to increase its Green Generation capacity 4 times from the current 1.2 GW to 4–5 GW by 2030. For further details, see the Group’s strategy (link).

For more information, please contact:

Paulius Kalmantas

Communications Partner at Ignitis Renewables

Phone: [phone]

Email: [e-mail]