EIB Studies $644 Million Loan for Dutch Offshore Wind Farm

The European Investment Bank is considering a 500 million-euro ($644 million) loan for a Dutch offshore wind project developed by Typhoon Offshore BV.

The loan will help finance construction and operation of the 2.6 billion-euro North Sea project, the European Union’s lending arm said in a website statement. No timeframe was given for possible approval.

Typhoon Offshore, a unit of clean energy investment company Typhoon Capital BV, is developing the 600-megawatt park 85 kilometers (53 miles) north of the Dutch island of Schiermonnikoog, according to the company’s website.

The company plans to reach financial close next summer on the project, where loans are agreed on and their draw-down possible, Typhoon Offshore Managing Director Michael van der Heijden said today by phone from Amsterdam, where the company is based.

Typhoon Offshore is in “detailed discussions” with export credit agencies including Denmark’s Eksport Kredit Fonden and commercial banks about funding the project, which will use 70 percent of senior debt with the remainder a mix of equity and “junior debt,” he said.

Siemens AG (SIE) will supply turbines to the venture which will power 785,000 homes a year when built, he said. First power from the plant is expected by late 2015 or early 2016.

To contact the reporter responsible for this story: Sally Bakewell in London at Sbakewell1@bloomberg.net

To contact the editor responsible for this story: Reed Landberg at landberg@bloomberg.net