Mutkalampi wind farm Due diligence work for the upcoming largest onshore wind farm in Finland

Mutkalampi wind farm banner

What was the aim of the work? 

Natural Power provided technical due diligence services and a finance-grade energy yield assessment to Neoen for the financing of Mutkalampi wind farm in western Finland. Once built, the wind farm will be the largest onshore wind farm in Finland, accounting for some 2% of the country’s annual production. As part of this landmark deal, the team provided: 

  • independent, bankable energy yield assessment, considering local environmental conditions, such as icing losses and extreme temperature shutdowns; 
  • comprehensive technical due diligence reporting, including a review of the EPC contract, turbine O&M agreement, grid connection agreement, construction programme, electrical design, site access and transportation arrangements, ground investigations, turbine technology, land leases, permits, and environmental review; 
  • financial model technical inputs review; 
  • review of power purchase agreements and associated performance thresholds.  

What was the outcome? 

Neoen has now reached successful financial close for the project, and early construction works are underway. This deal places Neoen among the wind energy market leaders in Finland. Senior debt was provided by German institutional asset manager MEAG, which is a Munich Re company.  

Most of the electricity produced in Mutkalampi will supply Google, Heineken, Nobian (previously Nouryon), Philips and Signify through five 10-year corporate power purchase agreements, which are for a combined total of 251 MW. This represents another major step forward in corporates sourcing green electricity directly from renewable generators in Europe.  

What did Natural Power do to get this result? 

Having developed a strong working relationship with Neoen’s international team through our offices in France, combined with our track record and growing reach in the Nordics, the project team was able to provide a strong knowledge base for this project. This project drew upon the international collaboration between our teams in the UK, France and the Nordics. 

We were able to draw on our experience as lender’s technical advisor (LTA) and from owner’s engineering mandates at other large wind farms in the Nordics to advise on technology risks associated with the Vestas EnVentus platform and managing construction in cold climates.  

Acting as technical advisor, we’ll be providing continued support to the lenders throughout the construction stage. This will include certification of debt draw downs, regular progress reporting and site visits.