BP will move all of its offshore wind business into a 50/50 joint venture with Jera, Japan’s largest power generation company, as it switches back from investing heavily in renewable energy to refocus on its core oil and gas business. The new London-based company, called Jera Nex bp, will combine Jera’s 1GW of operating wind farms with BP’s long development pipeline, to have a potential capacity of 13GW. BP will inject roughly $3.25bn of capital funding, while Jera will contribute $2.55bn.
5bn in the third quarter, “largely driven” by payments for its two large offshore wind projects in Germany. Analysts questioned whether the company could afford to keep investing at such a level while also maintaining its current share buyback and dividend policy. BP declined to comment on whether the new company would lead to a change in its stated target to have taken a final investment decision on 50GW of renewable energy projects by 2030.