Gunvor to acquire 75% stake in Spanish gas power plant

Energy trading firm Gunvor on December 11 said it will acquire a 75% stake in Bahía De Bizkaia Electricidad (BBE), a 785MW combined cycle gas turbine (CCGT) power plant located in Bilbao, Spain.

The deal, which remains subject to customary regulatory approvals and closing conditions, represents Gunvor’s first investment in a power generation asset. The company did not disclose the value of the deal. 

“We are truly excited at this landmark acquisition in a new asset class for our company,” said Shahb Richyal, Gunvor’s global head of portfolio. “BBE also represents an important step as we continue to expand our presence in gas and power trading.”

"This decision reflects BP's strategy of transforming from an International Oil Company (IOC) into an Integrated Energy Company (IEC) that aims to become net zero by 2050 or sooner," Andres Guevara, head of BP in Spain, said. 

Gunvor said its purchase of BBE builds upon its existing investments in two biofuel plants located in Huelva and Alava. The transaction is expected to be completed in the first quarter of 2024.