Tornator sells 600 MW of wind power projects to OX2

Forestry company Tornator and OX2, the largest onshore wind power company in Europe, have agreed on the sale of a significant wind power portfolio. In the now confirmed transaction, Tornator will sell the project rights to OX2 to build a total of 600 MW of wind power in Finland. The total annual energy production of completed wind farms will be approximately 2 TWh.

The transaction includes project rights of approximately 100 wind turbines in total. The largest and most advanced projects in the portfolio are located in Utajärvi and Pieksämäki, Finland. The Utajärvi project consists of 44 wind turbines and the Pieksämäki project consists of 29 wind turbines. Construction of the wind farms is will begin once the plans become final. The permits for network connections are expected to be completed in 2022–2023. Tornator will continue as a landowner in the project areas.

“Tornator took another important step to mitigate climate change. Cooperation with OX2, a leader in the field, enables the construction of wind power on our lands, which further strengthens our responsibility objectives. We have been developing these projects for a long time, and now was the right time to sell them to skilled hands to build the wind farms,” says Henrik Nieminen, CEO of Tornator.

“Tornator leases the land of the projects areas to a new owner, so in addition to sustainable forestry, wind power will support both our business and our efforts towards a fossil-free future,” Nieminen continues.

“In Finland, investments in subsidiary-free wind power projects currently amounts to over EUR 2 billion, which means that wind power production in Finland will more than double in the next two years. The portfolio we have now acquired will further increase investments in renewable energy production, increase local vitality in project areas and help Finland achieve its carbon neutrality targets by 2035,” says Teemu Loikkanen, Country Manager for OX2 Finland.

The total investment value of the portfolio will exceed EUR 600 million. Approximately 20 per cent of the investments, EUR 120 million, will remain in the economic area mainly through the construction of the land and electricity network, as well as accommodation and other services.

“The realization of wind power projects will secure the municipality’s economy for years to come. The municipality of Utajärvi will receive approximately EUR 30 million in real estate tax revenue from the wind farm during its operating period, which will help to secure the services of local residents and further develop the municipality. Utajärvi is known for its clean nature and tourism opportunities, which is further supported by investments in clean energy production,” says Anne Sormunen, the Chairman of Municipality Board of Utajärvi.

Wind power in Finland

At the end of 2019, there were 754 wind turbines in Finland with a total output of 2,284 megawatts. In 2019, Finnish wind turbines produced a total of 5.9 terawatt hours of electricity, which covers approximately seven per cent of Finland’s electricity consumption.

Source: Motiva

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Tornator is a leading company specialised in sustainable forestry in Europe. It owns forests in Finland, Estonia and Romania. In 2019, the Group’s net sales were some €106 million, and the balance sheet value was about €1.8 billion. The Group has around 180 employees. Tornator’s own employees, and other companies and their employees working on its forestland, add up to around 1,000 person/years of employment. The owners of the parent company are Finnish, mainly institutional investors. Tornator’s mission is to generate sustainable well-being from forests. www.tornator.fi/en

OX2 develops, builds and manages renewable power generation. OX2 has taken a leading position in large-scale onshore wind power over the past 15 years, having generated more than 2,3 GW of wind power in the Nordic region. By constantly increasing access to renewable energy, OX2 is promoting the transition towards a more sustainable future. OX2 has operations in Sweden, Norway, Finland, Poland, Lithuania and France. Its head office is located in Stockholm, Sweden. Sales revenue in 2019 amounted to EUR 463 million. For more information, please visit: www.ox2.com