Calgary

Enbridge to invest $1.7B in German North Sea wind farm

Calgary-based Enbridge Inc. says it will invest $1.7 billion in a North Sea off-shore wind energy project off the coast of Germany.

Calgary company will have 50% stake in 497-megawatt off-shore project

A vessel sails towards a wind farm off the southeastern coast of England. (David Bebber/Canadian Press/Archive)

Enbridge Inc. says it will invest $1.7 billion in a North Sea off-shore wind energy project off the coast of Germany.

The Calgary-based company says it will have 50 per cent ownership of the Hohe See project once the staged investment is complete, while German utility EnBW will continue to own the other 50 per cent.

Enbridge will initially spend $600 million on the project this year and invest the remaining $1.1 billion through 2019, when the project is expected to be in service.

Under a German government incentive program, power generated by the 497-megawatt wind farm will be sold at fixed prices over a 20-year period.

Enbridge has the option to invest further in a planned expansion of the wind farm that would add 112 megawatts of generating capacity.

The company is primarily involved in oil and gas pipelines throughout Canada and the United States and natural gas distribution in Ontario, but also invests in wind, solar, hydroelectric and geothermal power generation projects.

Enbridge also reported Friday that it had $1.78 billion of net income last year, or $1.95 per common share. It had $2.08 billion, or $2.28 per share of adjusted earnings, after excluding a number of items.

In the fourth quarter ended Dec. 31, Enbridge had $365 million of net income, or 39 cents per share. Adjusted earnings were $522 million or 56 cents per share.