Orsted’s subsidiary Revolution Wind LLC has received an order to halt activities on the outer continental shelf related to the Revolution Wind project.
Orsted said in a statement it is complying with the order from the US Department of the Interior’s Bureau of Ocean Energy Management (BOEM) and taking appropriate steps to stop offshore activities.
The renewable energy company said it is “evaluating all options to resolve the matter expeditiously,” including engagement with relevant permitting agencies for any necessary clarification or resolution as well as through potential legal proceedings. The company said it aims to proceed with continued project construction towards its commercial operation date in the second half of 2026.
Orsted added that it is evaluating the potential financial implications of the development, considering a range of scenarios, “including legal proceedings.”
The company said it plans to advise the market on the potential impact of the order on the plan announced earlier in the month to conduct a rights issue, in due course.
The Revolution Wind project started offshore construction following final federal approval from BOEM last year. The project is 80 percent complete with all offshore foundations installed and 45 of 65 wind turbines installed, according to the statement.
Revolution Wind is fully permitted, having secured all required federal and state permits including its construction and operations plan approval letter, following reviews that began more than nine years ago. Revolution Wind has 20-year power purchase agreements to deliver 400 megawatts (MW) of electricity to Rhode Island and 304 MW to Connecticut, enough to power over 350,000 homes across both states to meet their growing energy demand, the statement said.
The project timeline has already been delayed once, with Orsted moving back the original commercial operation date of 2025 to 2026.
In September 2024, Revolution Wind completed the installation of the project’s first offshore wind turbine, a milestone for Rhode Island and Connecticut’s first large-scale offshore wind farm and the first multi-state offshore wind farm in the USA, according to an earlier statement. The project is set to utilize 65 Siemens Gamesa 11-MW turbines.
New BESS Project in Texas
In April, Orsted said started construction of a 250-MW / 500-megawatt-hour battery energy storage system (BESS) in Needville, Texas, expected to be completed in 2026.
The new storage project will be located on the same land leased for the company’s 430-MW Old 300 Solar project, one of the largest to come online in the U.S. in 2024, according to an earlier statement.
“Battery energy storage has played a large role in providing much needed power to ERCOT in times of tight supply and demand margins,” Amanda Dasch, CEO of Orsted Region Americas, said. “Our Old 300 Storage project will further strengthen grid reliability by providing additional resources to Texas grid operators and allowing for more diverse and localized energy options as electricity demand continues to grow”.
“Fort Bend County has been an important location for Ørsted’s energy development in Texas, and we are excited to see operations in the area expand as a point of pride for our team,” Robert Stochl, plant manager of the Old 300 project at Orsted, said. “We look forward to continue working in the local community and providing resources for the energy needs of our state.”
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