bp and JERA Co., Inc. have agreed to merge their offshore wind operations, creating a new joint venture called JERA Nex bp.
This partnership will establish one of the world’s largest offshore wind developers, with a combined potential net generating capacity of 13GW.
Key Points
- Equal Ownership: The standalone joint venture will be equally owned by bp and JERA.
- Substantial Portfolio: JERA Nex bp will have a mix of operating assets (1GW net capacity) and development projects (7.5GW capacity), along with secured leases offering an additional 4.5GW potential.
- Financial Commitment: The partners have pledged up to $5.8 billion in capital funding for investments committed before the end of 2030.
- Global Focus: Initially, the venture will concentrate on projects in North-West Europe, Australia, and Japan.
Yukio Kani, CEO of JERA, emphasised the critical role of offshore wind in the energy transition, stating: “Offshore wind has significant potential and is a critical component of the energy transition.
“The sector is at an inflection point, and we believe the transformative partnership launched today between our two companies combines the resources, capabilities, and network necessary to be a world-class offshore wind company.
“Today’s announcement also demonstrates JERA’s commitment to the offshore business in Europe, Japan and the rest of the world and is a natural evolution of our strategy that places collaboration at the heart of our approach to renewables.”
Murray Auchincloss, CEO of bp, expressed enthusiasm about the partnership:”We are very pleased to have reached agreement with JERA to form a top five wind developer globally.
“This will be a very strong vehicle to grow into an electrifying world, while maintaining a capital-light model for our shareholders.
“We very much look forward to combining our strengths in Europe and Asia-Pacific to create another innovative platform.”
Operation details
- Headquarters: JERA Nex bp will be based in London.
- Leadership: The CEO will be nominated by JERA, while bp will nominate the CFO.
- Timeline: The venture is expected to be completed by the end of the third quarter of 2025, subject to regulatory approvals.
This strategic partnership aims to accelerate offshore wind development globally, leveraging the strengths and experiences of both bp and JERA in the renewable energy sector.
