Lamprell has signed a capacity reservation agreement to supply transition pieces for Ocean Winds’ 860MW Moray West offshore wind farm off Scotland.
The reservation agreement, first reported exclusively in the 23 February edition of reNEWS, secures capacity in Lamprell’s Hamriyah yard for the work as the project moves towards financial close and full contract award.
The base scope of work is for the supply of 62 transition pieces, which includes 60 wind turbine generator transition pieces and two transition pieces for the two offshore substations, as well as for the shipping of the 62 transition pieces to a marshalling harbour in the UK.
With contractual negotiations successfully concluded, and subject to the final investment decision on the Moray West project, a full notice to proceed for the contract, worth more than $200m, is anticipated early in the second half of 2022.
In anticipation of this and similar other awards in the renewables business unit, Lamprell has commenced a significant yard upgrade programme, including the construction of a renewables production line, through which it will construct jacket components, transition pieces and monopiles, expanding the group’s capacity and product offering.
The major capital expenditure project is expected to double Lamprell’s annual renewables revenue capacity while lowering unit production costs and materially improving margin contribution on offshore wind foundations projects.
Ocean Winds, a 50-50 joint venture between EDP Renewables (EDPR) and Engie, is developing the offshore wind project.