Copenhagen Infrastructure Partners Hits Financial Close on South Korean Offshore Wind Project

Jeonnam I – a 99-MW offshore wind farm off the coast of Shinan County, Jeonnam Province in South Korea – has reached a financial close, and construction completion of the wind farm is expected by the end of 2024.

Jeonnam I is a joint venture between SK E&S, one of the largest conglomerates in South Korea, and Copenhagen Infrastructure Partners (CIP) through its fund Copenhagen Infrastructure III.

Jeonnam Offshore Wind Power was founded in 2020 as a 51-49 joint venture between SK E&S and Copenhagen Infrastructure Partners (CIP) and the project is expected to become the first South Korean commercial-scale offshore wind farm to go into operation in 2024.

The project has been developed by a joint team comprised of SK E&S and Copenhagen Offshore Partners (COP), the exclusive offshore wind development partner to CIP.

SK E&S and CIP are also jointly developing Jeonnam 2 and Jeonnam 3, two offshore wind projects with a total capacity of 800MW currently in the development phase. Jeonnam 1, 2, and 3 will support South Korea’s ambitious target of reaching 14,3GW of offshore wind power by 2030, a significant increase compared to the existing 0,1GW installed today.

Jeonnam Offshore Wind Power obtained an Electricity Business License in 2017 and entered a grid connection agreement with KEPCO, the state-owned utility in South Korea, allowing the project to connect to the grid in 2024.

In 2022, Jeonnam I was awarded a 20-year fixed-price offtake agreement with Korea Hydro & Nuclear Power through Korea’s first wind offtake auction.

Throughout 2022, the project also signed manufacturing and construction contracts with Korean suppliers including Hyundai Engineering and Steel Industries, Hyundai Electric and Gaon, KT Submarine, and LS Cable and System. The project will utilize Mokpo New Port as marshalling port throughout construction, given the port’s ideal location near the Jeonnam 1 site.

Torsten Lodberg Smed, the senior partner at CIP, said: “We are proud to have reached financial close and entering the construction phase on Jeonnam 1 and we look forward to completing this landmark project together with our partners.”

“CIP is also pursuing partnerships in South Korea regarding the development and supply of blue and green ammonia into Korea to further facilitate Korea’s green transition.”