Kolon Global to Create a Wind Power Development Fund to Solidify its No.1 Wind Power Position

▷ Promoting joint development of wind power generation with Hana Bank, Hana Alternative, and MDM Assets

▷ Aim to increase dividends by 50 billion won by 2030 through repowering and offshore wind power

Korea's No. 1 wind power company, Kolon Global (CEO and President, Kim Jung-il), has joined up with banks and asset managers to develop onshore wind power in Korea.

Kolon Global announced on Tuesday that it had held an agreement ceremony to establish an onshore wind power development fund. The agreement was signed by Kolon Global, Hana Bank, Hana Alternative Investment Asset Management, and MDM Asset Management. Previously, in April, Kolon Global signed a multilateral memorandum of understanding (MOU) to jointly develop wind power generation.

Under the agreement, Kolon Global will actively develop onshore wind power projects in Korea and oversee EPC operations and engineering. Hana Bank will advise and arrange financing for the project (PF). Hana Alternative Investment Asset Management will support fundraising and financing, while MDM Asset Management will invest through MDM Infrastructure Finance.

This agreement will enable the company to secure funds for the acquisition and development of new projects and accelerate the development of upcoming projects.

Kolon Global has focused on wind power generation as one of the future growth engines of the renewable energy sector. Building on its differentiation of participating in all processes from business development to construction and operation, Kolon Global has maintained the No. 1 market share in wind power generation (over 25% based on EPC contracts).

In May, Kolon Global signed Korea's first power purchase agreement (PPA) for a wind farm with SK E&S and Iljin Group. Based on this agreement, Kolon Global will supply up to 37 GWh (gigawatt hours) of renewable energy generated through its Hasami wind farm to the Iljin Group via SK E&S for the 20 years. This deal is expected to accelerate the expansion of private supply of renewable energy. Starting with the Hasami wind power, Kolon Global has also announced plans to expand PPA signings in other ongoing projects such as Yangsan Eden Valley Wind Power and Pohang Wind Power.

“From the Hasami PPA last month to this MOU, we have constantly consolidated our leading position in the domestic wind power business by complementing our wind power development know-how with the strengths of other companies,” said a representative of Kolon Global. ”We intend to successfully establish a wind power development fund this year to further expand our wind power business and drive continuous growth.”

Kolon Global currently operates, or is developing, 39 wind farms (totaling 1,000 MW) nationwide, including Gyeongju 1 & 2 (37.5 MW), Taebaek Gadeoksan 1 & 2 (64.2 MW), Yangyang Manwolsan 1 & 2 (46 MW), and Yeongdeok (33.6 MW) wind farms. Based on a blueprint of green hydrogen production linked to wind farms, acquisition and redevelopment of old wind farms (repowering), and entry into offshore wind power, Kolon Global plans to increase dividends from the wind farm business from KRW 3.5 billion last year to KRW 10 billion by 2027 and KRW 50 billion by 2030.