Danske Commodities signs its biggest renewables deal so far

Danske Commodities has signed trading and balancing agreements for Polish offshore wind projects Bałtyk 2 and 3. The energy trading company will offtake 100% of production from a total of 1.44 GW in capacity, which makes it its biggest renewables deal yet.

Polenergia, the largest Polish private energy group, and Norway-based Equinor are developing the projects for two offshore wind farms in the Baltic Sea. They plan to commission the facilities Bałtyk 2 and 3, in which they hold a 50% share each, in 2028. Under a new agreement, Danske Commodities will be responsible for trading and balancing in the Polish wholesale and balancing electricity markets, respectively.

The company headquartered in Denmark and fully owned by Equinor revealed it would offtake the offshore wind parks’ entire output. Both Bałtyk 2 and 3 would have 720 MW in capacity.

Their production is equivalent to the electricity needs of two million Polish households, according to the announcement.

Østergaard Kristiansen: Poland emerging as one of our core renewables markets

It is the biggest renewables deal in company history, Danske Commodities’ Chief Executive Officer Helle Østergaard Kristiansen said.

“With almost 15 years of power trading experience from the Polish market, Poland is now emerging as a core renewables market for us, and we look forward to continuing growing our asset portfolio,” she pointed out.

Danske’s contract portfolio reaches 12 GW

Earlier this year, the energy trader signed a balancing agreement for Lipno, Equinor Group’s third solar park in Poland. The expansion to offshore wind in the country supports its strategic ambitions. The Norwegian developer is planning a broad energy offering in Poland.

“With the buildout of renewables in Poland, Danske Commodities is ready to support Equinor and third-party energy producers by creating value uplift from power trading,” said Helle Østergaard Kristiansen. She oversees a contract portfolio of 12 GW of power capacity across Europe.

The Bałtyk 2 site is 37 kilometers from the coast while the distance to Bałtyk 3 is 22 kilometers. The project firms are called MFW Bałtyk II and MFW Bałtyk III.

Separately, Equinor Polska signed a contract for operation and maintenance (O&M) services. The developers also hired it for construction, equipment and access and to maintain the service base. Cadeler would install the wind turbines.

After recently receiving construction permits, Polenergia and Equinor expect to make the final investment decision in the first quarter.