Eversource sells stake in US offshore wind farm to Ørsted

Energy company Ørsted is acquiring its partner Eversource Energy’s 50% stake in a US federal offshore wind lease to ensure it becomes a key hub in the Northeast region. The $625m announced deal includes the lease, labelled Bay State Wind or Lease Area OCS-A 500 and covering roughly 187,000 unleased acres, which could have up to 4GW of offshore wind capacity. In addition, Ørsted gains ownership of contracts and leases for port facilities, partnerships with several ports and a charter agreement for an upcoming vessel. The acquisition contributes to Ørsted’s 5GW portfolio of wind power under development, solidifying its position as a leader in US offshore wind development, said David Hardy, group EVP and CEO Americas at Ørsted.

Eversource President, CEO and Chairman Joe Nolan emphasised the firm would continue to support the onshore aspects of three mutually-owned wind projects, including South Fork Wind, Revolution Wind and Sunrise Wind projects during the construction phase, and provide tax equity for South Fork Wind. The latter milestone allows the project to commission and deploy renewable energy later this year. The deal follows Eversource’s strategic review of its offshore wind portfolio, which determined the sales of associated assets, including its 50% stake in three contracts with Ørsted, would be in the interest of its long-term objectives. Ørsted’s acquisition is expected to go ahead once regulatory review and customary closing conditions are completed in Q3 2023.

Tags: eversource,orsted,US Offshore Wind


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