Equinor Lands $3 Billion Financing Package for New York Offshore Wind Project – ESG Today

Norway-based vitality firm Equinor introduced immediately that it has secured a venture financing bundle in extra of $3 billion for the Empire Wind 1 venture, reaching monetary shut for the 80,000 acre wind venture off the coast of New York.

Situated 24 – 48 kilometers Southeast of Lengthy Island, Empire Wind 1 is anticipated to be the primary offshore wind venture to attach into the New York Metropolis grid, powering 500,000 houses, with a contracted capability of 810 MW. The venture is already beneath building and is predicted to succeed in business operation in 2027.

Molly Morris, President of Equinor Renewables Americas, stated:

“As we speak’s monetary shut maintains the momentum now we have constructed towards bringing a big new supply of energy to the grid that may strengthen US vitality safety and construct financial progress.”

The Empire Wind lease was awarded to Equinor in 2017, and in 2020, the corporate bought a 50% curiosity within the lease, alongside a 50% curiosity within the Beacon Wind lease offshore of Massachusetts. In 2024, Equinor took full possession of the Empire Wind lease, in a swap transaction that gave bp full possession of the Beacon belongings. In June 2024, Equinor and the New York State Vitality Analysis and Growth Authority (NYSERDA) executed a 25-year buy and sale settlement (PSA) for energy from Empire Wind 1 with a $155/MWh strike worth.

Equinor stated that it was capable of safe aggressive phrases for the brand new financing, because of robust curiosity from lenders. The corporate expects whole capital investments for the venture to succeed in roughly $5 billion, together with charges for using the South Brooklyn Marine Terminal (SBMT), which can function the operations and upkeep hub for Empire Wind 1, turning into the most important devoted port amenities for offshore wind within the U.S. as a part of the venture.

Jens Økland, Appearing Govt Vice President for Renewables at Equinor, stated:

“This is a vital milestone for Equinor, consistent with our plan to reinforce worth and cut back publicity within the Empire Wind 1 venture. As we now enter full execution mode, we proceed our efforts to extend robustness and value-creation within the venture.”