KKB AG establishes Norwegian subsidiary and acquires hydro plants

KKB AG unrolls its expansion strategy and takes over two hydro power plants in Helgeland, Norway.

Norway is the leading hydro power producing country in Europe and destined to play an important role in the European renewable energy future through its large hydro production and storage capacity potential. An important reason for KKB to complement and enlarge its hydro portfolio with new assets in Norway.

KKB formed KKB Norway AS and established together with local project developer Minikraft the MK Kraft AS joint venture, were KKB Norway holds 90% stake. The 0.8 Megawatt Strandfjordselva and 2.7 Megawatt Snefjellakraft hydro plants in the Helgeland region were acquired by MK Kraft AS. KKB Norway plans to own and operate over 40MW in hydro capacity by 2020.

Generation costs close to market prices and the diversification of risks are guiding principles of the KKB expansion strategy. The hydro investments in Norway offer currency diversification through the independent Norwegian currency, renewable energy plants operating very close to market prices, and the scale up of the overall strategy of KKB for a European-wide diversification of assets.