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Orrön Energy’s strategic expansion into renewables

Orrön Energy expands its renewable energy portfolio, marking a record quarter in energy production and strategic sales.

energynews
Le 15 May 2024

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Orrön Energy recorded an exceptional first quarter in 2024, achieving record energy production of 274 GWh. This figure marks the company’s highest quarterly production ever. All reinforced by excellent operability and high electricity prices. This performance is particularly noteworthy after the sale of 50% of Leikanger for 53 million euros in April. The sale also illustrates the value of the company’s assets and its strategy of recycling capital to more profitable projects.

Expansion and strategic acquisitions

Earlier this year, Orrön Energy acquired a portfolio of wind and battery projects in Finland, securing land for 180 MW. The permitting process for these projects was launched in the first quarter. The company has signed binding land agreements for the first 500 MW of solar and battery projects in Germany. It has also advanced pre-permit work in Germany and the UK. These initiatives underline Orrön Energy’s commitment to sustainable development and to increasing its renewable generation capacity.

Financial performance and economic outlook

Cash flow from operating activities amounted to 3 million euros in the first three months of the year. The electricity price realized during the quarter was 49 euros per MWh. This resulted in a proportional EBITDA of 5.1 million euros. Proportional net debt was 91.2 million euros. The company has also increased its available liquidity through a revolving credit facility raised to 190 million euros.

Statement by Daniel Fitzgerald, CEO of Orrön Energy AB

CEO Daniel Fitzgerald praised the company’s performance and the importance of the Leikanger sale. He stated that this sale proves the value and attractiveness of the company’s assets. This strategic move strengthened the balance sheet. It has also increased the company’s financial strength, fostering growth and creating long-term value for shareholders.
The first quarter of 2024 brought major developments for Orrön Energy. This illustrates its success in the dynamic renewable energies sector. Thanks to precise strategies for the development of its portfolio, the company is ideally placed to capitalize on future opportunities and continue to enrich its shareholders.

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