Sumitomo Corp. has purchased minority stakes in two offshore wind farms off the coast of Belgium. The Japan-based company signed an agreement with Parkwind, of Belgium, for a 39 percent stake in the Belwind 1 project and a 33 percent stake in the Northwind project, North American Wind Power reported.
Belwind 1 - an $850 million project - has been operating since late 2010 with a capacity of 165 megawatts, while the Northwind project is being constructed. It is expected to have a capacity of 216 MW once completed and cost $1.1 billion. Together, the projects will have more than 127 wind turbines combined, Electric Light and Power reported.
The electricity generated from the offshore wind farms will be sold to Electrabel under a long-term agreement. The amount of electricity generated by the projects is enough to power about 370,000 homes.
The agreement between the two companies must be approved by the European Commission.
Sumitomo and Parkwind also have entered into an agreement to work together to develop the Belwind 2 project, which will be located adjacent to Belwind 1.