Dominion closes buy of Kitty Hawk North from Avangrid for USD 160m

Dominion Energy Inc (NYSE:D) has completed the purchase of the Kitty Hawk North offshore wind lease area and associated assets from Avangrid Inc (NYSE:AGR), adding nearly 40,000 acres to its nearby gigawatts-scale Coastal Virginia Offshore Wind (CVOW) project.

“Closing this transaction is a tremendous development for our key business objectives and strategic priorities, positioning us to pursue new opportunities for investment across our renewables portfolio,” Avangrid’s CEO Pedro Azagra said in a press statement.

The transaction, valued at USD 160 million (EUR 148.1m), was agreed upon in July. The terms include a lease acquisition payment of USD 117 million, equivalent to about USD 3,000 per acre, plus associated development cost reimbursement to Avangrid.

Avangrid retains ownership of the Kitty Hawk South lease with the potential for 2.4 GW which the company intends to continue developing.

(USD 1 = EUR 0.926)

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