Denmark - Vattenfall acquires CHP and wind power capacity

Vattenfall and the Danish power company Dong have concluded an agreement under which Vattenfall will establish a significant presence in the CHP and wind power sectors in Denmark. The terms of the agreement will see Vattenfall take over approximately 24 percent of the generation capacity of Elsam/E2 (excluding the Avedöre II power station, where Vattenfall's holding will be transferred to Dong/ Elsam/E2). In exchange for these assets, Dong will take over Vattenfall's 35.3 percent holding in Elsam. "This structure will ensure that we acquire new competence and greater resources in the Nordic operations so that we can continue the development of environment-friendly, sustainable energy solutions such as wind power, bioenergy and the reduction of carbon dioxide emissions," says Vattenfall's President and CEO, Lars G. Josefsson. "We are very pleased that the agreement is now in place. Our move into the CHP and wind power sectors in Denmark represents an important strategic investment in our Nordic operations."

Vattenfall will take over the Nordkraft power plant in Ålborg, the Fynsverket plant in Odense and the Amagerverket plant in Amager, as well as plants in Helsingör and Hilleröd. These power plants are both coal- and gas-fired. Vattenfall will also take over Elsam's on-shore wind power assets and 60 per cent of the Horns rev wind farm. The Danish market is to be handled by Vattenfall's Nordic organisation under the management of Hans von Uthmann, head of Vattenfall Nordic. The takeover is not expected to lead to any redundancies. The deal is subject to the approval of all the transactions involved by the competition authorities. Approval from the AGMs of the companies concerned is also necessary