US firm invests in Centrica's wind farms

28th Oct 2009 07:05

Gas supplier Centrica has received planning permission for the construction of a wind farm project off the coast of Lincolnshire.The 270 megawatt offshore wind farm has received final investment approval, and construction work on it will start in 2010. It will be situated eight kilometres offshore from Skegness, next to Centrica’s existing wind farm developments and is expected to cost £725m.The farm is expected to start generating energy by the end of 2012.As cash rolls out on that project, money is to roll back into Centrica’s coffers after Us investment management company TCW agreed to pay £84m for a 50% equity stake in Centrica’s Lynn, Inner Dowsing and Glens of Foudland wind farms.Centrica has also entered into agreements to raise in the region of £340m of non-recourse project finance facilities from a consortium of banks for the assets in which TCW is taking a stake.Centrica will be making a profit of around £50m on the sale of the stakes to TCW. Last year, the assets made an operating profit of £17m, though the company notes that the Lynn and Inner Dowsing farms were not fully commissioned until December 2008.