The ORLEN Group purchases the ONDE wind project

ONDE sold to Energa Green Development, a subsidiary of Energa, a company belonging to the ORLEN Group, shares in a special purpose vehicle being an owner of the 37.4 MW Szybowice wind farm. Furthermore, Energa Green Development ordered at ONDE performance of construction and electrical works worth ca. PLN 105 million. 

ONDE held 50 percent of shares in a special purpose vehicle established for execution of the Szybowice wind farm. The second shareholder in that special purpose vehicle was Goalscreen Holdings Limited (the company being an affiliate of the Neo Energy Group). Under the recently signed agreement, both entities sold their shares to Energa Green Development.

ONDE will receive ca. PLN 30 million for its shares, where this price may still be adjusted for the value of the Szybowice WF net operating capital and net debt. Additionally, the company can receive a bonus of a maximum value of ca. PLN 10 million, if the Szybowice WF receives the occupancy permit by the end of 2025. Additionally, the buyer entrusted ONDE with a comprehensive (excluding wind turbines supply) execution of that wind farm. From the moment of investor’s request to proceed with the construction, which is to be issued no later than on 22 March 2024, the company has 21 months to perform the contract of the total value of ca. PLN 105 million.

‘In accordance with the adopted strategy, we want to be as flexible as possible with management and development of our project portfolio. It is a very capital- and time-consuming activity, so we sell not only constructed farms, but also projects at various stages of progress, to operate the capital entrusted to us by our shareholders in the most optimal way and seek new investment opportunities even more effectively’, explains Marek Marzec, ONDE SA Vice-President, responsible for the developer segment.

‘We are greatly satisfied with the transaction with such renowned entity, as this is an excellent confirmation of the effectiveness of our business model’, adds Paweł Średniawa, ONDE SA President. ‘In the last decade, the ORLEN Group underwent an impressive transformation, becoming one of the leading players in the European energy market. We hope that our cooperation will contribute to execution of the energy strategy of that business leader.

In response to modifications introduced into the ORLEN Group development strategy, in December 2023 the Energa Group updated assumptions for the Long-Term Strategic Investments Plan (LTSIP) and the Strategic Development Plan (SDP). Those documents, covering years of 2024–2030, provide for a significant increase in the planned investment expenditures. In the next seven years, the companies from the Energa Group will implement investments of the total value of nearly PLN 48 billion to achieve an intense increase in the RES installed power, and further increase in the sales of electricity generated from RES. The implementation of the updated strategic plan can result in the increase of the Energa Group EBITDA corresponding to the 2.5 result of 2022.

Nearly PLN 14 billion will be spent on development of the renewable energy sources. This will result in the increase in the Energy Group RES installed power to the level of ca. 3.6 GW by 2030.

In accordance with the assumed strategy, by the end of 2030 the ORLEN Group will have renewable energy sources of the total power exceeding 9 GW, including off- and on-shore wind farms, photovoltaic projects, and generation units burning biogas and biomethane. Using the potential of the combined multi-energy concern, by the end of the decade the ORLEN Group will spend as much as PLN 120 billion in total on green investments.

Currently, ONDE is constructing two PV farms of the total power of nearly 19 MWp for its own needs, while conducting advanced negotiations concerning the sale of those projects.