Oslo, Norway, 21 October 2021: Recent events have presented Cloudberry Clean
Energy ASA ("Cloudberry" or the "Company") with the opportunity to retain a
bigger stake in the Stenkalles Grund shallow water wind project in Lake Vänern,
Sweden's largest inland lake and thereby the prospect of improving Cloudberry's
overall project economics.
Assessments of the project and discussions with potential wind turbine suppliers
have identified several opportunities to improve project economics of the 100 MW
shallow water development.
With this prospect in sight, the Company has decided to postpone final
investment decision until mid-year 2022. As a result of this, the target
commercial operation date of the project has been postponed from H2 2023 until
2024. The new timeline will allow the Company's new business segment Cloudberry
Offshore Wind, headed by newly appointed Charlotte Bergquist, more time to
optimize and integrate the project in the offshore wind portfolio.
Other project workstreams continue as planned. A projecting agreement has been
signed with the grid operator Ellevio for the connection to Dingelsundet
transformer station. Cloudberry is also working closely with the Dutch renewable
energy service provider Ventolines. Ventolines successfully completed the 383 MW
Fryslân Wind Project. The project is located in a large shallow water lake just
north of Amsterdam. The Fryslân Wind Project experience is very relevant for the
Stenkalles Grund project, and key persons from the project have joined
Cloudberry's project team to secure and further optimize the execution plan. For
Ventolines the involvement with Cloudberry marks an important step in their
international expansion agenda.
"As previously informed, Cloudberry has ambitious plans to become a substantial
developer of shallow water wind. We are aiming for 2.5 GW offshore wind in the
Baltic Sea region by 2030. The Lake Vänern project is an important steppingstone
for the company in this respect, and sits well with our offshore wind ambition",
said Anders Lenborg, Chief Executive Officer of Cloudberry.
Seeking to increase ownership
In parallel, Cloudberry is pursuing an opportunity to increase its ownership in
the project from the planned 20 percent. The remaining 80 percent were
originally intended for infrastructure fund(s) managed by Downing LLP
("Downing").
The agreement between Cloudberry and Downing had several milestones and a
longstop date defined, which recently expired. The parties have not come to an
agreement about an extension, and Cloudberry and Downing have therefore jointly
agreed to terminate the agreement.
"For Cloudberry as an industrial player, this represents an opportunity to take
a bigger stake in this important steppingstone for our offshore wind portfolio
in the Baltic Sea. We would still be open for a partner to work with us, but
with our high ambitions in offshore wind and the financial resources that are
now available to us, we will certainly be looking to keep a significantly larger
ownership that what was the premise in the previous agreement," said Lenborg.
The decision to discontinue cooperation with Downing is not expected to have an
impact on the overall economics for Cloudberry. The Company will not receive the
expected cash flow from the planned sale of part of the project as announced in
January, but the Company expects to own a larger share of a valuable and strong
cash generating renewable project in central Sweden.
For further information
Anders Lenborg, CEO, +47 934 13 130, al@cloudberry.no
Christian Helland, CVO, +47 418 80 000, ch@cloudberry.no
This information is considered to be inside information pursuant to the EU
Market Abuse Regulation and subject to the disclosure requirements pursuant to
Section 5-12 of the Norwegian Securities Trading Act. This stock exchange
announcement was published by Suna F. Alkan, Chief Sustainability Officer,
Cloudberry Clean Energy ASA, on 21 October 2021 at 19:30 CEST.
About Cloudberry
Cloudberry is a renewable energy company operating in the Nordics and in
accordance with local tradition. The Company owns, develops, and operates
hydropower plants and wind farms in Norway and Sweden.
Cloudberry is powering the energy transition to a sustainable future by
providing new renewable energy today and for future generations. The Company
believes in a fundamental long-term demand for renewable energy in Europe. With
this as a fundament, Cloudberry is building a sustainable, scalable, efficient,
and profitable platform for creation of shareholder value.
Cloudberry`s shares are traded on Oslo Stock Exchange's main list (Oslo Børs),
supported by strong owners and led by an experienced team and board. The Company
is located in Oslo, Norway (main office) and Karlstad, Sweden. To learn more
about Cloudberry, go to www.cloudberry.no.
About Ventolines
Headquartered in Almere, greater Amsterdam region, with a staff of nearly 100
experts, within development, permitting, contracting, construction, and asset
management within renewable energy projects. The company has been involved in
renewable energy projects with more than 2000 MW of installed power in the
Netherlands. This includes the country's largest onshore wind farm, Windplan
Groen, at 500 MW. Ventolines also provided its full portfolio of services to the
world's largest offshore wind farm in a shallow water lake, Windpark Fryslân, at
383 MW with 89 turbines.