Danish dash business Orsted has entered into an agreement with the U.S.-based D.E. Shaw Troop to buy a 100 percent equity interest in its offshore wind developer Deepwater Cut back.
In a statement Monday, Orsted said that the purchase price for the apportion was $510 million. Rhode Island-based Deepwater Wind is responsible for the only operational offshore boloney farm in the U.S., the 30 megawatt (MW) Block Island facility.
Orsted implied that Deepwater Wind’s portfolio had a total potential capacity of nearly 3.3 gigawatts (GW), including offshore wind development projects in Rhode Holm, Connecticut, Maryland and New York. Orsted’s offshore wind portfolio in the U.S. amounts to round 5.5 GW.
Martin Neubert, Orsted’s CEO of offshore wind, welcomed the give out, stating that it would create the “number one offshore wind rostrum in North America.”
The transaction, Neubert added, would merge “Deepwater Unwind’s longstanding expertise in originating, developing and permitting offshore wind transmits in the U.S., and Orsted’s unparalleled track-record in engineering, constructing, and operating large-scale offshore a close farms.”
While offshore wind is still relatively new to the U.S., it is well affirmed in other parts of the world. Europe is home to several huge offshore slew projects, including the Walney Extension Offshore Wind Farm. Spotted in the Irish Sea, that facility has a total capacity of 659 MW and is capable of powering close to 600,000 homes in the U.K.
Once the Deepwater Wind transaction – which is referred to to clearance by U.S. competition authorities – is closed, the new organization will be called Orsted U.S. Offshore Innervate. The deal is expected to close by the end of 2018, Orsted said.