Equinor wins giant new contract for offshore wind power in New York – E24

This is the largest offshore wind contract in the United States, Equinor writes in a statement.

Equinor and its partner BP will expand the Empire Wind 2 project with a capacity of 1,260 megawatts and Beacon Wind 1 with a capacity of 1,230 megawatts, the company says.

These will be some of the largest offshore wind farms in the world. The largest project planned to date is Equinor’s giant British Doggerbank project, which has 3,600 megawatts divided into four development phases.

The auction is decided by the New York State Energy Research and Development Authority (NYSERDA). The two projects can be expanded after Equinor and BP have negotiated a purchase and sale agreement with the authority.

The two giant projects join Empire Wind, which Equinor will also expand in New York. Equinor purchased this license in 2017 and two years later won an auction to build an 816 megawatt offshore wind farm.

It is not known how many billions Equinor and BP will spend on the two giant new projects that have now been awarded.

Equinor has estimated that Empire Wind will involve an investment of around NOK 25 billion. This corresponds to investments in a medium-sized Norwegian oil development. For example, the Gina Krog field cost NOK 27 billion.

– A breakthrough

In total, Equinor will thus have a capacity of 3,300 megawatts in the US, making the company one of the largest players in offshore wind in the country.

– These projects will deliver renewable energy to New York and play an important role in the state’s work to become a global hub for offshore wind energy, says Anders Opedal, CEO of Equinor.

– The success we have had with the offerings for Empire Wind 2 and Beacon Wind 1 represents a breakthrough for our offshore wind business in the US and confirms Equinor’s ambition to be a leader in green change, He says.

– A state of dreamers

In his “State of the State” address on Wednesday, New York Governor Andrew Cuomo said the state will expand another 24 renewable projects, including solar and offshore wind projects.

These projects are part of the state’s plan to develop more than 100 of these projects, of which more than 60 are already underway.

Among the new projects that won auctions in New York on Wednesday are two giant offshore wind projects to be delivered by Norwegian Equinor.

“We are a state of dreamers, but we are also a state of dreamers who can make our dreams come true,” Cuomo said in the speech.

The total cost of New York’s last big investment in renewable energy is made for about $ 26 billion, or 221 billion crowns, Cuomo said. The projects will be developed through public-private partnerships.

Ambitious climate goals

New York has set a goal of reducing government emissions by 40 percent by 2030 and 85 percent by 2050.

To achieve the goals, Cuomo has plans to develop 9,000 megawatts of offshore wind power in the state by 2035.

The state will also develop power lines to transport electricity around where it will be consumed and reduce bottlenecks in the grid. It will also expand battery storage to use electricity more intelligently and balance the grid.

Offers delivered in October

In October, Equinor submitted its bids for New York’s second round of offshore wind auctions. It was opened to developments with a total capacity of 2,500 megawatts.

According to Cuomo, Equinors will be two new wind farms with more than 90 turbines. In total, they will have a capacity of 2,500 megawatts.

Since then, the bids have been reviewed by the New York State Energy Research and Development Authority (NYSERDA).

The two projects will be able to create 3,000 jobs in the state, Equinor said in October. The company will help expand projects from the South Brooklyn Marine Terminal, which will also be used as a base for maintenance of the facilities.

“Equinor and New York State will work together to develop a strong offshore wind industry, which will be able to produce and assemble equipment,” says Siri Espedal Kindem, who leads Equinor’s US wind operations.

The company emphasized in October that offshore wind developments will bring big benefits to New York, through increased competition in the business community, economic development and lots of clean energy.

Great values

Equinor’s offshore wind operations are of great value, especially in the UK, Germany and the US. The company also has several major projects in the planning stages in Poland, and also smells in various other markets.

Last year, Equinor sold half of the two offshore wind licenses Empire Wind and Beacon to competitor BP for close to 10 billion kronor.

Equinor was able to post a solid profit after the sale, as the value of the assets had risen significantly since the company bought them.