Japanese refiner Eneos to buy Japan Renewable Energy for $1.8 billion

eneos to buy japan renewable energy for 1

Japan's biggest oil refiner Eneos to buy Japan Renewable Energy for 200 billion yen ($1.8 billion)

Japan's largest oil company, Eneos, said it would buy Japan Renewable Energy for about 200 billion yen ($1.8 billion) to expand its low-carbon business. Eneos, which controls almost half of Japan's gasoline and other fuels market, will buy Japan Renewable Energy from Goldman Sachs and GIC, a Singaporean sovereign wealth fund.

Eneos said the deal, the first big buy of a renewable energy firm by a top Japanese oil company, would help it meet its target to have more than 1000 megawatts (MW) of renewable energy production capability in Japan and abroad by March 2023.

Japan Renewable Energy, founded in 2012 by Goldman Sachs, is one of the leading renewable power-generation firms in Japan, with a total of 379 MW of renewable plants from solar, biomass, and onshore wind. Japan Renewable Energy is also keenly engaged in developing offshore wind business, including observing wind conditions and developing construction plans. With the addition of the renewable plants under construction, JRE has a total of 708MW of renewable power generation.

Eneos' total renewable power-generation capacity in operation and under construction worldwide is expected to be approximately 1,220MW as of September 2021 following the acquisition.