Watson Farley & Williams (“WFW”) advised Magallanes Renovables on the development of its ATIR 2.0 project, a pioneering floating platform for renewable energy generation based on tidal currents. WFW’s advice covered the structuring and closing of the project finance, as well as the negotiation and drafting of the EPC and O&M contracts.
The project has secured financing for its development, granted to a special purpose vehicle owned by Magallanes Renovables, enabling the advancement of one of the most innovative tidal energy initiatives currently under development worldwide.
The ATIR 2.0 platform will be built in Vigo, Spain, leveraging the region’s strong industrial and shipbuilding capabilities and will subsequently be installed and operate in Scottish waters. The project will be deployed off the coast of Scotland under a Contract for Difference awarded by the Low Carbon Contracts Company Limited (UK Government), generating renewable electricity from tidal currents with an installed capacity of 1.5 MW.
Measuring 53.6 metres in length and 7 metres in beam, the platform will be equipped with two counter-rotating turbines of 20.5 metres in diameter. Its lightship weight design, advanced engineering and operational efficiency position ATIR 2.0 among the most innovative floating renewable energy projects globally. By harnessing predictable tidal currents with high efficiency and minimal environmental impact, the platform is expected to significantly improve energy conversion rates compared to conventional offshore systems.
Magallanes Renovables is a leading Spanish company specialising in marine renewable energy, with a strong track record in the development of cutting-edge technology for clean and sustainable power generation.
The WFW Madrid Energy team advising Magallanes Renovables was led by Finance Partner Juan Vicente Barquilla, working closely with Senior Associate Beltrán Silva and Associate Cristina Álvarez. They were supported by Asset Finance Partner Alfredo Cabellos and Counsel María Pery.
Juan Vicente commented: “We are very pleased to be chosen to advise Magallanes Renovables, not only for our unrivalled expertise in project finance and asset finance, but also for our deep understanding of renewable technology. This combination was critical in advising them on the financing, as well as the design and drafting of the EPC and O&M contracts for a unique and pioneering technology. We are proud to have helped structure the backbone that enabled the financing and development of this unique project in the sector”.
Alfredo added: “This transaction demonstrates how Spanish institutions and companies are driving innovation in renewable energy, supporting projects that will shape the future of offshore power generation and deliver greater efficiency in harnessing natural resources”.
Magallanes Renovables CEO Alejandro Marques said: “We would like to highlight the excellent work carried out by WFW throughout this transaction. Their deep experience in the renewable energy sector, combined with a strong understanding of the naval and offshore industries, has absolutely been key to fully grasp the technical, contractual and financial complexities of the ATIR 2.0 project and to advise us with the highest level of precision.
For Magallanes Renovables, this achievement marks the beginning of a new era of commercial deployment. The work carried out by the WFW team has laid a solid foundation for our future tidal energy projects, setting the contractual, financial and operational framework that will support the scale-up of this technology. Beyond their technical expertise, we particularly value the close support, commitment and outstanding human quality shown by the entire team, which made this process not only highly effective, but also a genuinely collaborative and fantastic experience”.
PricewaterhouseCoopers acted as the lenders’ legal counsel.
