Ørsted lifts 2017 outlook after agreeing offshore wind farm sale

Danish energy group Ørsted has lifted its 2017 profit outlook after striking a US$2.65 billion deal for half of its stake in the world’s biggest offshore wind farm.

The company previously known as DONG Energy will divest a 50% stake in the Walney Extension project off the coast of Northern England to two leading Danish pension funds.

As a result of the divestment, Ørsted expects to make earnings of DKr19-21 billion this year, up from a previous guidance range of DKr17-19 billion.

The Walney Extension will consist of 40 turbines made by MHI Vestas and 47 from Siemens Gamesa and will create enough energy to power more than 500,000 homes for 25 years.

CEO Henrik Poulsen said: “We’re delighted to welcome two Danish pension funds as co-owners of Walney Extension. Both partners are committed to the green energy transition and I’m pleased that our offshore wind assets continue to be attractive to institutional investors.”

Ørsted is remodelling itself as a renewable energy specialist after completing the sale of its entire oil and gas business, and is keen to attract the ongoing interest of investors in green energy.