Ørsted Becomes Sole Owner of 924 MW Sunrise Wind in US for USD 152 Million

July 10, 2024, by Adnan Memija

Ørsted and Eversource have finalized the transaction for Eversource’s share in the Sunrise Wind offshore wind project, initially announced in January. Ørsted has acquired its former partner’s stake for USD 78 million (approximately EUR 72 million) less than the originally agreed price earlier this year.

In the agreement signed in January, the two companies agreed on a price of USD 230 million (about EUR 212 million). However, due to lower actual versus forecast capex spend between signing and closing, the purchase price is now USD 152 million (approximately EUR 140 million), according to Ørsted’s press release issued on 9 July.

With the closing of the transaction, the Danish developer has assumed full ownership of the Sunrise Wind offshore wind project, which has all federal permits in place and recently signed an Offshore Wind Renewable Energy Certificate (OREC) with the New York State Energy Research and Development Authority (NYSERDA).

The final investment decision for the 924 MW project was taken in March this year.

“Sunrise Wind has been significantly de-risked and achieved important milestones since we agreed with Eversource to buy their share. The transaction is a value-accretive opportunity for Ørsted as we continue to develop the project,” said David Hardy, Executive Vice President and CEO of Region Americas at Ørsted.

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Eversource will remain contracted, under a separate construction management agreement, to lead the onshore construction of the Sunrise Wind project.

Located approximately 30 miles (about 48 kilometres) east of Montauk, New Jersey, Sunrise Wind will generate enough clean energy to power nearly 600,000 New York homes, once it is completed in 2026.

“As a centerpiece of New York’s clean energy economy, Sunrise Wind builds on our momentum from South Fork Wind, further expanding the local offshore wind supply chain and workforce. We thank Eversource for their years of partnership and ongoing support,” said Hardy.