Ørsted has divested 50% of the Revolution Wind and South Fork offshore wind projects and two lease areas off the coast of New England, U.S., to Eversource.
According to Ørsted, the divestment of 50% of the offshore wind assets took place at a purchase price of approximately USD 225 million.
Revolution Wind is set to deliver 400MW of power to Rhode Island and 304MW to Connecticut. The 704MW project is expected to be commissioned in 2023, subject to permitting, securing power purchase agreements and final investment decisions.
South Fork , with a capacity of some 130MW, is scheduled to be commissioned by the end of 2022, also subject to permitting, further development, and final investment decisions. It is located 35 miles east of Long Island.
The two undeveloped New England offshore wind lease areas, delineated as Massachusetts North and Massachusetts South, have the potential to be developed up to 1GW of capacity, the Danish company said.
“I’m delighted to extend our strategic partnership with Eversource in the North-East and welcome them to our new offshore wind projects which will enable the joint venture to harvest synergies across the different New England projects,” said Martin Neubert , Executive Vice President and CEO of Offshore at Ørsted.
The two companies have been partners in the Bay State Wind offshore wind project since 2016 and, as Ørsted said, this new agreement will further strengthen their strategic 50-50 partnership in the North-East.
“We are excited to grow our partnership with Ørsted, and we look forward to working with the local communities where these projects exist, where we will honor all existing commitments and work collaboratively to deliver a clean energy transformation to homes and businesses throughout the region,” said Lee Olivier , Eversource Executive Vice President for Enterprise Energy Strategy and Business Development.