Delaware Liberal

BWW’s Owners are Liquidating

Article from today’s NJ.

TommyWonk reviews his previous assessment of this situation and what this likely means for the Blue Water Wind project:

It’s clear that BNB’s once formidable empire will be broken up, which means that Bluewater Wind may well have a new parent company sometime this year. The original plan was for BBI to own Bluewater during the construction of the offshore wind power project, which would be handed over to BBW after the wind farm became operational. As I have said before, Babcock & Brown is in trouble because of its business model, and not because of any trouble with the wind power project here in Delaware. The power purchase agreement with its guaranteed revenue stream is itself an asset, and will still be attractive to investors once it is separated from the BNB mess.

And while Charlie Copeland gets his “I told you so” on in the NJ article (didn’t he actually vote for the final agreement?), it is difficult to argue that the windfarm off of the Delaware coast (and the other off shore wind farm deals that they were pursuing) isn’t a pretty serious asset to energy investors with a long term view. What is the real unknown here is how the current investment climate may affect how these assets get viewed.

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