Mubadala invests $325 million in UK offshore wind project Hornsea 3

Dubai: Abu Dhabi sovereign investor Mubadala said on Tuesday it would invest $325 million in Ørsted’s Hornsea 3 offshore wind farm in the United Kingdom, joining a consortium led by funds managed by Apollo Global Management.

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Hornsea 3, located off the Norfolk coast in eastern England, is expected to become the world’s largest single offshore wind farm once completed, with planned generation capacity of 2.9 gigawatts.

Mubadala said the investment follows Apollo-managed funds acquiring a 50% stake in the joint venture holding the project, while Danish renewable energy developer Ørsted will retain the remaining 50% and continue leading development, construction and operations.

The consortium also includes Canadian institutional investors USS and La Caisse.

UK offshore wind market

Hornsea 3 is the third large-scale offshore wind development by Ørsted in the Hornsea zone in the North Sea and is expected to generate enough electricity to supply more than 3.3 million UK homes.

The United Kingdom is the world’s largest offshore wind market outside China and has targeted up to 50 GW of offshore wind capacity by 2030 as part of its net-zero strategy.

Mubadala said growing electricity demand driven by transport electrification, heating and digital infrastructure expansion was supporting long-term investment in renewable generation assets.

Karim El Jazzar, head of EMEA infrastructure at Mubadala, said the investment aligned with the company’s strategy of backing large-scale infrastructure projects alongside experienced partners.

“As electricity demand continues to grow, projects of this scale will play a critical role in expanding generation capacity and supporting the transition to a more sustainable energy system,” El Jazzar said.

Apollo partnership expands

Adam Petrie, infrastructure partner at Apollo, said Mubadala’s participation reflected confidence in the scale and long-term potential of the project.

Apollo said Hornsea 3 has the capacity to provide renewable electricity to more than 3 million homes across Britain.

The deal adds to Mubadala’s expanding renewable energy portfolio and deepens its partnership with Apollo.

Mubadala has previously invested in renewable energy platforms including Tata Power Renewables, Skyborn Renewables, PAG Renewables and Rezolv Energy.