DONG takes control of huge offshore wind development zone in North Sea
THE 4,000 sq km North Sea offshore wind development area Hornsea Zone is now under the sole control of DONG Energy after it acquired the rights for two project zones.
The Hornsea Zone, which lies in an area that stretches eastwards from a point 20 miles off the Yorkshire coast, is one of the world’s biggest offshore wind development zones, covering an area more than twice the size of Greater London.
DONG Energy acquired the 1.2 gigawatt (GW) Hornsea Project One in February and the purchase of Projects Two and Three, from SMart Wind consortium led by Mainstream Renewable Power and Siemens Financial Services, takes the potential capacity of its development up to 3GW.
As the sole owner, DONG will now assume responsibility as lead developer of the whole Hornsea development zone.
Huub den Rooijen, head of offshore wind at The Crown Estate, which manages the UK seabed, has welcomed the deal because of DONG’s “proven track record in developing and delivering offshore wind projects”.
The Hornsea Zone is expected to form an important part of DONG’s post-2020 pipeline.
“The Hornsea Zone provides us with new and exciting development opportunities, not least because of the sheer size of the projects in terms of acreage and their high generation potential,” said Brent Cheshire, DONG Energy’s UK chairman. “This will also help us in our committed efforts to reduce the cost of electricity from offshore wind.
“With this acquisition we have the scope for continuing our growth within offshore wind and maintaining our position as global leader in this field beyond 2020.”
He added: “DONG Energy has already invested around £6 billion in the UK, most of it in offshore wind farm development. We expect to invest a similar amount by 2020.
Mark O’Reilly, chief executive of Team Humber Marine Alliance (THMA), welcomed the opportunities that will be created by DONG’s investments.
He said: “DONG Energy’s decision is a vote of confidence in the UK market and particularly the Humber confirming their recent proposed commitment to Able UK’s Able Marine Energy Park.
“The Hornsea Zone Projects Two and Three are expected to form an important part of DONG Energy’s post-2020 project pipeline, potentially securing long-term investments in the Humber, creating new jobs and opportunities for the supply chain – our 200-plus member companies among them.”
