The fund of 13.162 billion crowns (1.227 billion euros) will pay 600 million euros to acquire from the Spanish energy group Iberdrola 49% of a portfolio comprising seven photovoltaic farm projects and five onshore wind farm projects.
This is his second direct investment in renewable energy infrastructure, a new asset class in which the Norwegian parliament has authorized him to invest alongside stocks, bonds and real estate.
In April 2021, he had already announced a stake for almost 1,38 billion euros in what was then the second largest wind farm in operation in the world, Borssele 1 & 2, in the Dutch waters of the North Sea.
The acquisition of the Spanish assets, scheduled to be completed in the first quarter, concerns an installed capacity of 1.265 megawatts, making it possible to cover the annual electricity consumption of 700.000 Spanish households, he said in a press release.
Nine of the 12 relevant projects are currently under development and are expected to be completed by 2025, he added.
Supposed to make the oil revenues of the Norwegian state bear fruit to ensure the financing of its welfare state, the fund is timid in renewable energy infrastructures whereas it had in the past expressed its intention to devote around 10 billion euros between 2020 and 2022.
"Our experience so far is that many investors are looking for such investments and their valuation is therefore not always attractive to us", explained the head of the fund, Nicolai Tangen, before Parliament in 2020.
Iberdrola for its part indicated that it could extend its partnership with the Norwegian fund "to other renewable assets, located outside the initial perimeter, in Spain or in other countries".
Initially, the investment unveiled on Tuesday remains conditional on the approval of the Spanish authorities.
Madrid introduced in 2020 a control of foreign investments in strategic sectors, originally to protect its companies weakened by the health crisis.
This "anti-takeover" shield obliges foreign groups wishing to acquire more than 10% of a Spanish company or one of its subsidiaries deemed to be a priority to first seek the green light from the State.
Led by Ignacio Sanchez Galan, Iberdrola has grown significantly in recent years, becoming one of the world leaders in renewable energies.