Dominion Energy has announced that it aims to sell a stake in its 2640MW Coastal Virginia Offshore Wind (CVOW) project.
According to the company, it is seeking a noncontrolling equity financing partner as part of moves to de-risk the project.
In a company statement, Dominion Energy CEO Robert Blue said: “As part of the ongoing business review we continue to evaluate efficient sources of capital to solidly position our balance sheet for the long-term while seeking to minimise any amount of external equity financing need.”
He noted that the project is largely unaffected by the inflationary pressures and rising interest rates dogging several US offshore wind projects.
“The thoughtful approach taken by Virginia legislators and regulators to develop a framework for our regulated offshore wind project is delivering exceptional results for customers and local economies,” he stated.
“It enabled us to take a differentiated approach to project development, securing agreements early with offshore wind suppliers for material and services while giving them confidence in our project’s completion.
“This allows our vendors to maintain focus on delivering their equipment and services on time.
“Not only is our project on budget and on schedule, but it is also estimated to deliver electricity at a levelised cost that competes very favourably with the nation’s unregulated offshore wind projects while creating hundreds of jobs and millions of dollars of local economic benefit.”