Orsted acquires Deepwater Wind Farm in Rhode Island

Orsted, a leading developer of offshore wind farms, acquired a 100 percent equity stake in Rhode Island-based Deepwater Wind $510 million.

Deepwater Wind is a leading developer of offshore wind farms with a portfolio of projects along the US East Coast with a potential capacity of approximately 3.3GW. It includes Deepwater Wind near Block Island, Rhode Island, along with projects in Connecticut, Maryland, and New York.

Orsted’s has an offshore wind portfolio with a capacity of approximately 5.5GW with wind farms in Massachusetts, New Jersey, and Virginia. With the acquisition, Orsted will be able to deliver wind energy to seven states on the US East Coast.

“With this transaction, we’re creating the number one offshore wind platform in North America, merging the best of two worlds: Deepwater Wind’s longstanding expertise in originating, developing and permitting offshore wind projects in the US, and Orsted’s unparalleled track-record in engineering, constructing, and operating large-scale offshore wind farms. Today’s announcement consolidates Orsted’s position as the global market leader in offshore wind with a strong foothold across Europe, North America, and Asia-Pacific,” Martin Neubert, CEO of Offshore Wind at Orsted, said.

D.E. Shaw & Co owns Deepwater Wind.

“Deepwater Wind has done a fantastic job as a first-mover in US offshore wind, and I look forward to joining and integrating the two US organizations,” Thomas Brostrøm, CEO of Orsted US Offshore Wind and president of Orsted North America, said. “We have exciting times ahead of us delivering large-scale clean energy projects to households and businesses along the Eastern Seaboard. Orsted will maintain a strong presence in Massachusetts and Rhode Island and will, of course, honor the local commitments associated with Deepwater Wind’s projects along the East Coast.”

U.S. Sen. Sheldon Whitehouse (D-RI), a member of the Senate Environment and Public Works Committee, applauded the acquisition.

“Rhode Island’s ocean planning and offshore wind leadership is paying off big,” Whitehouse said. “Deepwater’s first-in-the-nation offshore wind farm created jobs and powers Rhode Island homes and businesses. It’s a model for renewable energy, and for how to bring together everyone – from fishermen to financiers – with a stake in a promising renewable energy project to ensure the process is inclusive and fair. Now, Deepwater’s expertise and experience will combine with the resources of a global energy leader that knows how to grow offshore wind. It is very good news for Rhode Island, American energy leadership, and our climate.”

Whitehouse and Sen. Jack Reed (D-RI) introduced the Incentivizing Offshore Wind Power Act in 2017 to provide critical financial incentives to spur more investment in offshore wind energy. Whitehouse also introduced the Offshore Wind Incentives for New Development (WIND) Act with Sen. Edward Markey (D-MA) to sustain vital tax provisions to help offshore wind energy developers plan and invest.