The logo of Spanish energy group Repsol is seen at a gas station in Arinaga on Gran Canaria Island, Spain on October 26, 2022. Photograph: Borja Suarez/Reuters. Obtaining licensing rights
MADRID (Reuters) – Repsol (REP.MC) said it has entered the U.S. onshore wind market by buying renewable energy developer ConnectGen for $768 million, expanding its presence in a country the Spanish energy company sees as a key market.
The acquisition of ConnectGen from Quantum Capital is part of the Spanish company’s shift from oil and gas to renewables, with a particular focus on the United States.
The move “accelerates our commitment to renewable energy generation in one of the markets with the greatest potential for future growth,” Repsol CEO Josue John Imaz said in a statement on Thursday.
Repsol’s purchase comes a day after it agreed to sell its oil and gas assets in Canada to Peyto for $468 million.
ConnectGen’s 20 GW of planned wind, solar and onshore energy storage projects will help Repsol achieve its goal of reaching 20 GW of installed renewable energy capacity by the end of the decade.
It currently has about 2 GW of renewables in operation and another 3 GW under construction.
This is Repsol’s latest deal in recent years aimed at strengthening its business in the field of renewable energy. The company bought renewable energy company Asterion Energies and acquired a 40% stake in US renewable energy developer Hecate Energy.
The deal is expected to close by the end of the year.
Reported by Pietro Lombardi. Editing by Inti Landoro and Alexander Smith
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