By CEP Staff • 23 June 2023 in News

Freja Offshore, a joint venture between floating wind specialist Hexicon and global developer Mainstream Renewable Power, has submitted an application for the 2 GW Cirrus offshore wind farm in the southern Baltic Sea. Planned for a site approximately 50km southeast of Karlskrona, within the Swedish Economic Exclusion Zone, the Cirrus wind farm has the potential to generate enough electricity (up to 10 TWh) to power half a million homes in southern Sweden. Freja Offshore is developing the project as a bottom-fixed offshore wind farm, with the possibility of using floating wind turbines for the site’s deepest area. Mainstream Renewable Power and Hexicon have designed the wind farm to maximise co-existence with other regional ocean users and to meet important societal interests, such as those of the Swedish Armed Forces. “Increasing electricity production is imperative, but there are other important factors as well: defense interests, residential considerations, fishing, and natural values, to name a few,” said Magnus Hallman, CEO of Freja Offshore. “That is why we have chosen to place the wind farm as far out at sea as possible, as well as to capitalise on the extremely favorable wind location. The proximity to Karlskrona is also viewed as positive as it has been a maritime technology hub for over 300 years. “We will collaborate with all relevant stakeholders in the region to leverage the expertise available to progress the project and we are also prepared to adapt the design of the park to coexist with other interests, should this be necessary.” Cirrus is Freja Offshore’s second offshore wind application, after submitting the 2.5 GW Mareld floating offshore wind farm for approval back in April 2023. Together, the Cirrus and Mareld offshore wind farms could generate upwards of 22 TWh of clean electricity per annum, which will help Sweden meet its rising electricity demand over the coming years, expected to reach 300 TWh by 2045. “Freja Offshore has ambitious plans for developing Sweden’s nascent offshore wind industry and we are confident that the Cirrus application and the Mareld application we submitted back in April this year can play important roles in creating local benefits and help Sweden achieve its renewable energy ambitions,” said Sebastian Bringsværd, Head of Norway and Sweden at Mainstream Renewable Power. Development financing from Glennmont Partners Hexicon closed a €45 million development financing agreement with Glennmont Partners at the end of May to support its growing project pipeline, including those under development by Freja Offshore. The financing comprises two parts, with €35 million to promote Hexicon’s project pipeline and €10 million to fund general corporate activities and fully repay outstanding convertible loans. The loan bears a fixed base interest rate, with a provision for a balanced upside sharing should certain projects achieve valuations in line with targets. The loan matures on 31 May 2029, with the possibility of an extension. In addition to supporting Freja Offshore, the financing will also help Hexicon advance projects in the UK, South Korea, and Italy.