Masdar and Iberdrola Join Forces on €5.2 Billion UK Offshore Wind Project

Image: Iberdrola's Ignacio Galán with Masdar's Sultan Al Jaber Credit: Masdar–Iberdrola partnership

Masdar, the renewable energy company based in Abu Dhabi, has teamed up with Spain’s Iberdrola to finalise a major investment deal for the East Anglia Three offshore wind farm in the UK.

The 1.4-gigawatt project, valued at €5.2 billion (around $6.1 billion), will be owned equally by both companies. They’ll also share governance responsibilities. This collaboration is just one piece of a larger €15 billion ($17.6 billion) partnership between the two energy giants, aimed at expanding offshore wind and green hydrogen initiatives across the UK, Germany, and the United States.

To support the massive undertaking, Masdar and Iberdrola have secured £3.5 billion ($4.76 billion) in project financing from a group of 24 international banks. ScottishPower, a subsidiary of Iberdrola, is leading the project.

Importantly, the financing structure means neither company will need to carry the project’s debt on its balance sheet.

Once completed in late 2026, East Anglia Three will be located about 69 kilometres off the Suffolk coast. It’s set to become one of the largest offshore wind farms in the world and will generate enough electricity to power roughly 1.3 million homes.

“Landmark developments like Baltic Eagle and East Anglia Three are significant advances towards clean energy targets in major European nations. In a world where demand is surging due to exponential AI growth and the rise of emerging markets, projects such as these have never been more critical,” said Sultan Al Jaber, Masdar chairman.