Offshore staff
FREDERICIA, Denmark — Ørsted has agreed to acquire Eversource Energy’s 50% interest in the uncontracted federal offshore wind lease area in the northeast US region currently owned jointly by the two companies.
The $625 million agreement extends to contracts and partnerships for key operational assets.
Ørsted said it was committed to building an American offshore wind industry, including a supply chain that creates jobs across the US.
The Lease Area OCS-A 500 (Lease 500) covers about 187,000 acres of uncontracted seabed for offshore wind energy about 40 km from the coast of southern New England, with a potential capacity of up to 4 GW. Ørsted will acquire contracts and leases for strategic port facilities and other assets.
It will also take full ownership of partnerships with the Port of Providence, the Port of Davisville and Quonset Point, all in Rhode Island, and with Connecticut's New London State Pier.
The company will assume full control of the operations and maintenance hub in East Setauket, New York, and the charter agreement for the first US-built offshore wind service operation vessel, currently more than 50% complete at Edison Chouest’s yard in Houma, Louisiana.
As part of the agreement with Ørsted, Eversource will provide tax equity for the offshore South Fork Wind project, which the same vessel is due to service.
The agreement is subject to regulatory review but should close in third-quarter 2023.
David Hardy, executive vice president and CEO of Region Americas at Ørsted, said, “In addition to taking full ownership of seabed that is familiar to our team after years of work in this area, we will also be the sole bidder in our New York 3 and Rhode Island 2 active offshore wind solicitations. The combination of the seabed and additional components in this agreement further establish a major hub in the Northeast for our activities and future opportunities.”
Lease 500 is close to existing Ørsted US projects, offering construction and operational synergies, and offers shallow water depth and favorable wind speeds compared to other sites in the US and globally, the company said.
05.26.2023
