Shell has confirmed the return of its lease for the 2GW CampionWind project to Crown Estate Scotland as part of the oil giant’s exit from the sector.
The ScotWind site 100km off east Scotland was being developed in partnership with ScottishPower Renewables.
Shell had been looking to sell its 50% stake but failed to find a buyer after starting a formal process earlier this year, it is understood.
A company spokesperson told reNEWS that Shell had subsequently concluded a swap deal with SPR, under which Shell has taken 100% ownership of CampionWind and now returned the lease.
SPR has in turn assumed 100% ownership of the 3GW MarramWind floater, which the duo were also co-developing.
“Following on from the process of Shell selling its 50% interest in MarramWind to SPR, Shell has become the sole owner of the CampionWind project,” added the spokesperson.
“After a comprehensive review and in line with Shell’s previously announced refocussing of its power strategy on leveraging Shell’s strengths in trading and retailing, the conclusion was to not take the CampionWind project forward. Shell therefore returned the lease option to Crown Estate Scotland.
“Shell believes that returning the CampionWind lease to CES will offer the best opportunity for any potential future the site may have. Substantial pre-investment work has already been undertaken to de-risk the site, which Shell hopes will support any possible future.”
The company said it remained committed to supporting the UK’s offshore wind ambitions through trading, marketing and enabling development via long-term contracts.
Crown Estate Scotland has been asked to comment.