Equinor Acquires Rio Energy to Expand Onshore Renewable Energy Portfolio

Equinor, a Norwegian multinational energy company, has announced its agreement to acquire Rio Energy, a Brazilian onshore renewable energy producer, from Denham Capital. The financial details of the acquisition have not been disclosed.

Following the carve-out of certain assets by Denham Capital, Equinor will hold a 100% stake in Rio Energy and will retain the current management team and approximately 140 employees. The acquired portfolio includes the 200 MW Serra da Babilonia 1 onshore wind farm in Bahia state, a 600 MW pre-construction solar portfolio, and a project pipeline of around 1.2 GW of onshore wind and solar projects.

Equinor expects that the acquired project portfolio will deliver a real base project return for renewables projects, including the acquisition price, at the high end of its expected range of 4%-8%. This acquisition will further expand Equinor’s presence in the onshore renewable energy sector.

Equinor is committed to transitioning to a low-carbon economy and has set ambitious targets for reducing emissions and increasing renewable energy production. This acquisition aligns with Equinor’s strategy of expanding its renewable energy portfolio and diversifying its energy sources.

Rio Energy has a strong track record in developing and operating onshore renewable energy projects in Brazil. Its experienced management team and skilled workforce will complement Equinor’s expertise in the renewable energy sector.

Equinor’s acquisition of Rio Energy will contribute to Brazil’s efforts to increase its share of renewable energy in its overall energy mix. Brazil has a favorable climate for renewable energy production, particularly in solar and wind power.

With this acquisition, Equinor will have a larger presence in the Brazilian renewable energy market and will be able to leverage its expertise and resources to further develop and expand the acquired projects. Equinor’s focus on sustainability and its commitment to driving the energy transition make it well-positioned to succeed in the rapidly growing renewable energy sector.

This acquisition is part of Equinor’s broader strategy to invest in renewable energy and reduce its reliance on fossil fuels. By expanding its onshore renewable energy portfolio, Equinor is diversifying its business and positioning itself for long-term growth and success in the evolving energy market.

Equinor’s acquisition of Rio Energy marks another milestone in the company’s journey towards becoming a global leader in renewable energy. By combining its expertise, resources, and commitment to sustainability, Equinor is driving the transition to a more sustainable and low-carbon future.

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