Cathay Life acquires 50% stake in Ørsted’s Greater Changhua 4 wind farm

Ørsted has agreed to sell a 50% stake in its Greater Changhua 4 offshore wind farm in Taiwan to Cathay Life Insurance (CLI) and its affiliate Cathay Wind Power Holdings. 

The deal, valued at DKr11.6 billion ($1.6 billion), includes 50% ownership and an equal commitment to fund engineering, procurement, and construction (EPC) payments. The transaction, which has received regulatory approvals, is expected to close by the end of 2024.

The 583MW Greater Changhua 4 wind farm, part of Ørsted’s 920MW Greater Changhua 2b and 4 projects, is under construction and slated for completion by 2025. These wind farms are backed by a 20-year fixed-price corporate power purchase agreement with Taiwan-based semiconductor company TSMC.

Ørsted will manage the construction through a full-scope EPC contract and provide long-term operations and maintenance services from its Port of Taichung hub. The financing package, led by Ørsted, includes guarantees from six export credit agencies, marking a first for Taiwan’s offshore wind sector with support from the National Credit Guarantee Administration.

The Greater Changhua offshore wind cluster, with a total capacity of 1.82GW, is capable of powering two million Taiwanese households and reducing 3.5 million metric tons of CO₂ annually.