Danish energy giant Orsted is to acquire 100% of US offshore wind developer Deepwater Wind for $510m.
The companies’ assets and organisations will be merged into “the leading US offshore wind platform” with a large geographic spread and pipeline.
Deepwater – owned by invesetor DE Shaw – has a portfolio that includes the operational 30MW Block Island demo off Rhode Island (pictured), 810MW of projects with routes to market and 2.5GW of planned developments.
Orsted’s US pipeline totals 5.5GW and includes the 2GW Bay State off Massachusetts, 3.5GW Ocean Wind off New Jersey and potentially up to 2GW off Virginia.
Orsted chief executive Martin Neubert said: “With this transaction we are creating the number one offshore wind platform in North America, merging the best of two worlds: Deepwater Wind’s longstanding expertise in originating, developing and permitting offshore wind projects in the US, and Orsted’s unparalleled track-record in engineering, constructing, and operating large-scale offshore wind farms.
He added the deal “consolidates Orsted’s position as the global market leader in offshore wind with a strong foothold across Europe, North America and Asia-Pacific”.
Deepwater chief executive Jeffrey Grybowski said: “Orsted is one of the world’s great clean energy companies and real pioneers in the offshore wind sector.
“We could not be more pleased with this combination, which will bring together two great teams to realise an enormous clean energy resource for coastal populations in the US.”
The combined company will be called Orsted US Offshore Wind and top executives will come from both companies. The deal will be completed following regulatory approvals by the end of 2018.