SeAH Wind UK has made an additional £225m investment into its monopile manufacturing hub in Teesside, north-east England, bringing its total investment into the site at Teesworks Freeport (pictured) up to £900m.
It was supported by backing from UK Export Finance (UKEF).
This was made possible after SeAH Steel Holding received financial guarantees from UKEF and Korea Trade Insurance Corporation (K-Sure) – the UK and South Korean export credit agencies – meaning that it could access the new financing for its ongoing factory build.
UKEF and K-Sure first supported the project in 2023 and the new support brings their joint backing for this project up to £590m, with Standard Chartered Bank and HSBC UK providing the finance.
Upon completion of the factory, SeAH Wind UK will export monopiles to US and European markets.
The new financing means that the plant will be able to produce even bigger monopiles and a wider range of products to meet industry demands, supporting the UK’s place in the global offshore wind supply chain.
The project will create up to 750 jobs by 2027.
SeAH Wind UK chief executive Chris Sohn said: “With the proactive support of UKEF, our project is progressing smoothly.
“As we approach the completion of the factory construction, we are committed to ensuring its successful finalization.
“We aim to become the first monopile manufacturing company in the UK and make a significant contribution to the UK economy.”
UK Export Finance chief executive Tim Reid said: “This investment shows that there is international confidence in the UK economy and its ability to support the industries of tomorrow.
“UK Export Finance is helping to secure overseas investment in Teesside and around the UK through its financing offer. By working with HSBC UK, Standard Chartered and K-Sure to support investment into this project, the government is bolstering North-East England’s position as a leader in renewable energy expertise.”
HSBC UK chief executive Ian Stuart said: “We are delighted to provide our continuing support to SeAH Group for its new offshore wind monopile manufacturing factory in Teesside.
“Through its expanded manufacturing capabilities, the factory will significantly contribute to the needs of the offshore wind industry and play an essential role in addressing the growing demand for renewable energy.
“This project underscores the importance of Export Finance in helping our clients grow their operations globally and facilitating their journey to net zero.”
Standard Chartered’s head of structured export finance for Europe Yoshi Ichikawa added: “We are proud to build on our previous financing provided in November 2023, to support SeAH Group’s additional investment and enhancement of the UK supply chain in the wind sector.
“It is an example of the important role we play in helping our clients and sectors to make credible progress on their net zero ambitions, while supporting economic development across our markets.”