REG-Ørsted A/S Skipjack Wind to be repositioned for future offtake opportunities

Oersted A/SAnnouncement

25/01/2024 21:45

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   Ørsted A/S (Orsted)
   Skipjack Wind to be repositioned for future offtake opportunities

   25-Jan-2024 / 22:39 CET/CEST

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   25.1.2024 22:39:33 CET | Ørsted A/S | Investor News

   Today, Ørsted announced that it will reposition Skipjack Wind, a combined
   966 MW project under development off the coast of the Delmarva peninsula
   in the US, for future offtake opportunities.

   Following consultation with the State of Maryland, Ørsted has withdrawn
   from the Maryland Public Service Commission orders approving the Skipjack
   1 and 2 projects. Ørsted intends to continue advancing development and
   permitting for the combined project, including submission of its updated
   Construction and Operations Plan to the Bureau of Ocean Energy Management
   (BOEM).

   This action follows an extensive review of the orders. The payment amounts
   for ORECs set forth in the orders are no longer commercially viable
   because of today’s challenging market conditions, including inflation,
   high interest rates and supply chain constraints.

   “Today’s announcement affirms our commitment to developing value creating
   projects and represents an opportunity to reposition Skipjack Wind,
   located in a strategically valuable federal lease area and with a state
   that’s highly supportive of offshore wind, for future offtake
   opportunities,” said David Hardy, Executive Vice President and CEO of
   Region Americas at Ørsted. “As we explore the best path forward for
   Skipjack Wind, we anticipate several opportunities and will evaluate each
   as it becomes available. We’ll continue to advance Skipjack Wind’s
   development milestones, including its construction and operations plan.”

   “We’re grateful to Governor Moore, the Maryland Public Service Commission
   and the State of Maryland for their steadfast partnership and support as
   we have worked diligently to develop Skipjack Wind under challenging
   economic circumstances,” Hardy continued. “We fully support the state’s
   leadership as they pursue their ambitious offshore wind goal. We also
   thank the State of Delaware for its collaborative approach to supporting
   Skipjack Wind’s development.” 

   Ørsted continues to advance, build, and invest into several US offshore
   wind projects. With its partner Eversource, its South Fork Wind project
   serving New York is set to reach full operation in the weeks ahead as the
   first commercial-scale offshore wind farm in America. Revolution Wind,
   also with Eversource and delivering power to Rhode Island and Connecticut,
   has already started construction activities. Sunrise Wind, also serving
   New York, was re-submitted today in the New York 4 solicitation, which, if
   awarded, would improve the project’s financial position and advance the
   most mature offshore wind project in the state’s pipeline. 

   In addition, Ørsted maintains valuable uncontracted seabed along the US
   East Coast that is strategically positioned to create value and continue
   growing the US industry. In the Northeast, approximately 10 GW of offshore
   wind energy is expected to be awarded this year, and the Mid-Atlantic has
   additional solicitations expected in the next 1-2 years. 

   For further information, please contact:

   Global Media Relations
   Tom Christiansen
   +45 99 55 60 17 
    1 tomlc@orsted.com 

   Investor Relations
   Rasmus Keglberg Hærvig
   +45 99 55 90 95
    2 ir@orsted.com 

   About Ørsted
   The Ørsted vision is a world that runs entirely on green energy. Ørsted
   develops, constructs, and operates offshore and onshore wind farms, solar
   farms, energy storage facilities, renewable hydrogen and green fuels
   facilities, and bioenergy plants. Ørsted is recognised on the CDP Climate
   Change A List as a global leader on climate action and was the first
   energy company in the world to have its science-based net-zero emissions
   target validated by the Science Based Targets initiative (SBTi).
   Headquartered in Denmark, Ørsted employs approx. 8,700 people. Ørsted's
   shares are listed on Nasdaq Copenhagen (Orsted). In 2022, the group's
   revenue was DKK 132.3 billion (EUR 17.8 billion). Visit  3 orsted.com or
   follow us on Facebook, LinkedIn, Instagram, and X.

       Attachments

     •  4 Skipjack investor news.pdf

   News Source: Ritzau

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   Dissemination of a Regulatory Announcement, transmitted by EQS Group.
   The issuer is solely responsible for the content of this announcement.

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   ISIN:          DK0060094928
   Category Code: MSCM
   TIDM:          Orsted
   Sequence No.:  299798
   EQS News ID:   1823469


    
   End of Announcement EQS News Service

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References

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