BP and JERA Join Forces in $5.8B Offshore Wind Venture

Image Credit: BP

BP and JERA have announced the formation of a standalone joint venture, JERA Nex BP, combining their offshore wind businesses into one equally owned company. This new entity is set to become a significant global player in offshore wind, boasting 13GW of potential net generating capacity, encompassing operational assets and a robust development pipeline.

The joint venture aims to accelerate development by leveraging a combined portfolio of projects and enhancing access to competitive financing. The partners have committed up to $5.8 billion in capital funding for investments by the end of 2030. Contributions include operational assets with 1GW net capacity, a 7.5GW development pipeline, and secured leases for an additional 4.5GW of potential capacity.

“We are very pleased to have reached an agreement with JERA to form a top-five wind developer globally. This will be a very strong vehicle to grow into an electrifying world while maintaining a capital-light model for our shareholders,” said Murray Auchincloss, CEO of BP

“The sector is at an inflection point, and we believe the transformative partnership launched today between our two companies combines the resources, capabilities, and network necessary to be a world-class offshore wind company, and in doing so, realise the potential of offshore wind globally, while positioning this business for long term success,” added Yukio Kani, CEO of JERA.

JERA Nex BP will initially concentrate on advancing existing projects in northwest Europe, Australia, and Japan. Key assets include JERA’s wind farms in Belgium, Germany, Japan, and Taiwan, and BP’s high-profile projects such as the Morgan and Mona wind farms in the UK Irish Sea and Oceanbeat East and West in Germany’s North Sea.

Based in London, the new company will benefit from leadership drawn from both parent companies. JERA will nominate the CEO, and BP will appoint the CFO. Staff from JERA Nex, JERA’s offshore wind operations, and BP’s offshore wind business will integrate into the venture, enabling seamless collaboration. The merger is anticipated to be completed by Q3 2025.

JERA entered the offshore wind sector in 2019, acquiring Belgium’s Parkwind and spinning out its renewables arm, JERA Nex. Meanwhile, BP has been building its offshore wind portfolio since 2019, amassing 9.7GW in potential capacity, including 5.7GW in development projects and 4GW in secured leases.

With a strong presence in Europe, Japan, and beyond, JERA Nex BP is positioned to lead the global offshore wind market, driving the transition to renewable energy while capitalizing on the combined strengths of its parent companies.