RWE Pins £12 Billion Norfolk Wind Financing as Hydrogen Fleet Takes Shape

RWE has closed the joint venture that will carry its two Norfolk offshore wind farms to construction, with partner KKR taking a 50% stake in each of the Vanguard West and Vanguard East project companies. The pair are now equal partners in the schemes, which together account for 2.8 GW of capacity.

Funding for construction and grid infrastructure runs to roughly £12 billion, and the project financing is complete. The partners agreed a package built around £11.1 billion of senior bank loans, topped up by additional facilities worth £1.7 billion.

The wind deal landed in the same week RWE set out plans for three hydrogen-ready gas-fired plants on German soil, following awards from the Bundesnetzagentur. Voerde, Weisweiler and Werne will together deliver around 2,100 rMW of secured capacity, held over a 15-year horizon, and the company said building work on the first of them will get under way within weeks.

Hydrogen technology is already being put through its paces elsewhere in the group. On 6 November, RWE Generation and Kawasaki Heavy Industries commissioned a 34 MW hydrogen-capable gas turbine at Lingen, launching a multi-month trial that will also test running on up to 100% hydrogen.

Earnings beat puts guidance at the top of the range

Figures for the first nine months of 2026, released on Wednesday, showed adjusted EBITDA of €4.6 billion against €3.4 billion a year earlier, while adjusted net income came in at €1.8 billion. RWE stood by its full-year forecast and said it expects to land at the upper end of its ranges — €5.75 billion to €6.35 billion for adjusted EBITDA and €1.95 billion to €2.45 billion for adjusted net income. Management is targeting a dividend of €1.32 per share for 2026.

Barclays responded on Thursday by lifting its price target to €73 from €72 and reiterating an Overweight rating, describing the nine-month numbers and the outlook as a wake-up call. The stock added 1.2% on Friday.