Gamesa has signed binding agreements with Areva to form a 50:50 joint venture (JV) with focus on the offshore wind energy industry, following completion of exclusive talks initiated in January 2013. The JV aims to secure a 20% share of the European offshore wind market by 2020 and deliver 2.8GW of capacity. The transaction, which is subject to approvals by the French Government and the relevant competition authorities in Europe and other jurisdictions, will combine both the companies’ expertise in delivering turbines to the offshore wind market. The offshore wind market is expected to cross 25GW in Europe and 18GW in Asia by 2020. Under the terms of the accord, Gamesa will contribute assets worth €195m including its 5MW offshore platform; offshore R&D knowledge transfer and license of the onshore technology that can be applied offshore; extensive operations and maintenance ability, and industrial know-how and supply chain access.

Additionally, Areva will contribute assets valued at €280m, which include 5MW and 8MW offshore platforms; a 2.8GW pipeline, the offshore market’s second largest; offshore R&D and engineering knowledge transfer, and offshore manufacturing and logistics capabilities, as part of the agreement. The new company will further develop the upcoming 8MW platform to reduce costs with a view towards installation by 2021 at 1GW of sites recently won by Areva in France’s second offshore wind tender. With registered headquarters in Zamudio, Spain and the executive committee to be based in Paris, France, the JV will fulfill existing Areva industrial development commitments in France and the UK. The transaction is expected to be completed by the fourth quarter of 2014.

GE is attempting to explore other avenues in order to facilitate a final deal on Alstom and is in early-stage talks with nuclear-plant maker Areva SA (AREVA) and other French companies about asset sales or partnerships.

That’s according to a report in Bloomberg, which quotes unnamed insiders close to the negotiations as saying that the management at GE are potentially looking at selling some assets in order to win over the French government.

The US company is exploring concessions, including entering ventures in areas from nuclear power to wind-turbines to rail signalling, while it seeks clarification on what would appease the state, they said.

French companies have been contacting GE in anticipation of the government asking for asset sales or partnerships before approving the deal, though GE would prefer not to sell anything, a person said.

GE chief executive Jeff Immelt wrote to President Hollande pledging readiness to work with the state, Areva and EDF to protect the nuclear sector and preserve France’s exports. He also said GE would study potential French bids for Alstom (Euronext: ALO) onshore and offshore wind business, and welcome local investors in the capital of Alstom’s unit that makes turbines for dams.

Meanwhile Siemens AG (SIE) is weighing a possible counterbid for Alstom’s thermal, renewables and grid operations, which make and service products from gas turbines to power transmission equipment. The Germany-based company may decide as early as this week on an improved offer, having examined Alstom’s books. They are also said to be lining up a more attractive offer than initially made.

Areva, the world’s biggest reactor-fuel supplier, may be at the centre of any resolution for GE. For Areva, which is merging its unprofitable offshore wind turbine business with Spain’s Gamesa Corp. Tecnologica SA to share costs, buying Alstom’s offshore wind business would eliminate a rival that was selected by Electricite de France SA for a 2 billion-euro ($2.7 billion) contract to supply three wind farms in the country.

If that deal goes through Areva may opt to halt development of Alstom’s 6 MW offshore wind turbine, which has no gearbox, in parallel with its own 5-MW and 8 MW turbines using a gearbox to increase rotation speed and yield. That would also have an impact on plants and supply chains that Areva and Alstom both have pledged to build in France to win offshore wind tenders held by the state.

The government, EDF and Areva want to make sure that GE will continue to provide adequate maintenance services for Alstom’s steam turbines used in the non-nuclear part of France’s 58 atomic reactors, people familiar with the matter said. They also want to make sure that GE won’t block export of these turbines when French nuclear companies team up to bid for tenders abroad, they said.

Montebourg is pushing GE to sell its locomotive division to Alstom to strengthen the French company’s transport business, but insiders say the US company will not be prepared to go to those lengths to win the bid.