North East Renewables Firm Completes Major Wind Farm Portfolio Sale
Sunderland-based renewable energy developer OnPath Energy has successfully concluded a significant transaction, selling seven operational onshore wind farms for a total of £112.9 million. The portfolio has been acquired by ERG, a leading independent European renewable energy producer headquartered in Italy and listed on the Milan stock exchange.
Strategic Move Fuels Future Growth Ambitions
This divestment represents a core component of the strategic business plan established following OnPath Energy's acquisition by global investment giant Brookfield Asset Management in 2023. The company has confirmed that the proceeds from this sale will be strategically redeployed to fuel its ambitious growth strategy within the UK's clean energy sector.
OnPath Energy has outlined its commitment to invest approximately £1 billion into clean energy projects across the United Kingdom by the year 2030. This capital injection is central to its drive to establish itself as the UK's foremost renewable energy developer. The firm is now poised to advance several new development proposals within England during the current year and is actively exploring a diverse range of potential new development locations across England, Scotland, and Wales.
Details of the Transferred Wind Farm Assets
The seven English wind farms included in this transaction, all of which benefit from Renewable Obligation Certificates (ROCs), are:
- Armistead Wind Farm
- Heysham South Wind Farm
- Lambs Hill Wind Farm (near Stockton)
- Hook Moor Wind Farm
- Marr Wind Farm
- Penny Hill Wind Farm
- Hazlehead Wind Farm
As part of the agreement, OnPath Energy will continue to manage the operational sites on behalf of ERG. Importantly, all existing community benefits packages linked to each individual site will be maintained throughout the projects' operational lifetimes.
Leadership Perspective on the Transaction
Richard Dunkley, CEO of OnPath Energy, commented on the deal's significance: "The sale of these seven wind farms was a core part of the business plan developed when Brookfield acquired OnPath in 2023, and we are very pleased to have now completed this transaction with such a well-regarded counterparty."
He elaborated on the strategic rationale, stating, "Acquisitions and divestments are a critical part of our growth strategy, where proceeds from selling mature assets can be used to develop and acquire pipeline with potential for value creation, leveraging our team's deep renewables expertise."
Dunkley added, "We will now be bringing forward a range of new proposals for onshore wind farms across Great Britain over the next 12 months that will build on our existing plans to invest around one billion pounds in total in clean energy projects by 2030."
Expanding Operational Footprint and Market Context
Following this divestment, OnPath Energy retains ownership and operational control of 179 MW of operational onshore wind capacity. This includes two sites in England: Moor House Wind Farm near Darlington and Milton Keynes Wind Farm in Buckinghamshire. The company also operates three sites in Scotland, with a fourth—the Mill Rig Wind Farm at Darvel—scheduled to become fully operational in the first half of this year.
The transaction significantly bolsters ERG's presence in the UK market. The Italian energy producer, which operates approximately 4,000 MW of capacity worldwide, will now control 412 MW of installed wind capacity in the UK following this acquisition. ERG maintains a growing portfolio of wind and solar energy projects across nine European countries and in the United States.
OnPath Energy's parent company, Brookfield Asset Management, is a global investment powerhouse with over 48,000 megawatts of operating capacity worldwide, underscoring the substantial financial and strategic backing behind the Sunderland developer's ambitious plans for the UK's renewable energy future.
