Ørsted buys out Japanese partners in Gunfleet Sands for £15 million

Ørsted announced on 12 October 2026 that it has exercised a contractual buyback right to acquire the remaining 49.9% stake in the 172 MW Gunfleet Sands 1 & 2 offshore wind farm for approximately £15 million, lifting its ownership from 50.1% to 100%^[1]. Closing is subject to customary conditions and is expected in November 2026.

Who is selling

The 49.9% being acquired was split equally between two Japanese institutions^[1]:

• JERA Nex bp - holding 24.95%, the result of JERA merging its offshore wind activities with bp's into a joint venture, with the Gunfleet Sands stake contributed to that structure
• Development Bank of Japan - holding the remaining 24.95%

The ownership structure traces back to 2011, when Marubeni Corporation acquired a 49.9% shareholding for £200 million. Marubeni subsequently sold half to the Development Bank of Japan and the other half to JERA, which later folded its offshore wind assets into JERA Nex bp.

The asset

Gunfleet Sands 1 & 2 entered commercial operation in June 2010, making it one of Britain's earlier large commercial offshore wind developments. It comprises 48 Siemens turbines located 7 km off the Essex coast in the northern Thames Estuary, with a combined installed capacity of 172 MW. The farm generates enough electricity to power more than 125,000 UK homes annually, according to Ørsted.

At roughly £87 per kW of installed capacity, the £15 million price tag is a fraction of what new offshore wind costs to build - a reflection of the asset's age and the contractual nature of the transaction rather than a market valuation.

Why now

Ørsted framed the move as a late-life asset management decision. Full ownership gives the company greater flexibility to assess future options for the site, including a potential lifetime extension, without needing partner consent. Richard Bodal Hansen, Ørsted's UK Country Manager, said the company is "proud of the contribution it continues to make" and that full ownership gives it "greater flexibility to shape the site's future."

The buyback right was embedded in the original partnership agreements - Ørsted is not launching a market offer but triggering a pre-agreed clause. The company said it will continue to evaluate similar rights across its portfolio on a case-by-case basis.

UK portfolio context

Ørsted operates 12 offshore wind farms in the UK, which together supply approximately 7% of national electricity demand. The Gunfleet Sands consolidation comes after a period in which the Danish developer completed a divestment programme - shedding assets under financial pressure following US impairments - and declared that programme closed above its target.

The transaction is small relative to Ørsted's balance sheet, but it signals a shift in emphasis: from portfolio rationalisation toward sweating existing UK assets through their late-life phase. Whether a lifetime extension at Gunfleet Sands is technically and commercially viable will depend on turbine condition assessments and grid connection terms that Ørsted has not yet disclosed.

Closing is expected in November 2026. No extension decision has been announced.