RWE and US utility Entergy have signed a memorandum of understanding (MoU) to jointly evaluate developing offshore wind in the Gulf of Mexico.
Under this MoU, RWE and Entergy agree to assess five key areas to define an optimal route-to-market.
These includes market demand for carbon-free energy for customers of Entergy Louisiana, Entergy New Orleans and Entergy Texas; resource economics; transmission analysis to ensure reliability; economic impacts extending to direct and indirect job creation; and curricula to prepare the workforce of the future.
RWE Offshore Holdings chief executive Sam Eaton said: “The existing Gulf of Mexico oil and gas supply chain, workforce, and port infrastructure represent unique advantages to a potential offshore wind hub.
“Working together with a local partner like Entergy can deepen our understanding of the next steps to strengthen these valuable assets and support a new, regional industry.
“RWE’s early success acquiring two offshore wind lease areas in the US has positioned us well to continue preparing future markets for a robust clean energy economy powered by offshore wind.”
Phillip May, Entergy Louisiana president and chief executive, added: “Our customers continue to share with us that they are seeking clean energy solutions to help them reach their own sustainability goals.
“This partnership serves as an important early step to potentially bringing wind power to our Louisiana shores and empowers us to help foster even greater economic growth in Louisiana.”
The Gulf of Mexico is next on the Bureau of Ocean Energy Management’s offshore wind lease auction schedule with three lease areas proposed under the Pre-Sale Notice.
The region has gained momentum following Louisiana Governor John Bel Edwards’ Climate Action Plan, which includes a goal of 5GW of offshore wind power by 2035.
In 2022, RWE in collaboration with Greater New Orleans, initiated a programme to accelerate the engagement of Louisiana’s supply chain to identify companies with transferable capabilities for offshore wind.
Results from the supply chain collaboration are expected to be released industrywide later this year.