Cape Wind Secures $600M toward Mass. Wind Farm

MarineLink.com
Wednesday, February 26, 2014

By Richard Valdmanis, Reuters

Cape Wind said on Wednesday it has secured $600 million in financing for its proposed $2.5 billion wind power farm off the Massachusetts coast, and expects to have the rest locked up by the end of the third quarter.

Danish state-owned export credit agency EKF approved the loan pending due diligence, Cape Wind President Jim Gordon said at a power industry conference in Boston. EKF is the project's biggest financial commitment to date.

"EKF is a very knowledgeable and experienced investor in the offshore wind industry and they recognize that Cape Wind makes sense both economically and environmentally," Gordon said. "Moving Cape Wind forward will help further diversify New England's electric generation portfolio."

The project would have the capacity to produce 468 megawatts of electricity, enough to power nearly a half-million homes.

Cape Wind is among a handful of proposed offshore wind farms in the United States but is seen as more advanced in the process of getting government permits. Other proposed projects include wind farms off Rhode Island, Delaware, and in the Gulf of Mexico.

Cape Wind has been fighting for more than a decade to build America's first offshore wind farm, on a site between Cape Cod, Nantucket and Martha's Vineyard, but has been stalled by fierce legal challenges and government permit hurdles.

Opponents claim the project's 130 turbines would be an eyesore, hurt summer tourism, and pose environmental threats, by injuring migratory birds or causing pollution from leaks in the installations. Supporters argue the wind farms will provide clean, renewable power to help meet rising demand.

The loan agreement was "a significant step forward both because of the size of the funding commitment and because it provides a signal to other financial stakeholders," said Cape Wind spokesman Mark Rodgers.

The company expects to complete project financing in the third quarter of this year, Rodgers said, adding that construction would begin shortly after, with initial power production starting as early as 2016.

The financing follows conditional commitments of $200 million from the Danish Pension Fund, $100 million from technology and engineering company Siemens AG, and an undisclosed sum through the Bank of Tokyo-Mitsubishi, Rodgers said.

Those commitments are conditional on the entire financing package coming together, he said.

In December, Cape Wind announced a contract to supply Siemens with 3.6 megawatt turbines, an offshore platform, and a service agreement for the first 15 years of commercial operation.

Maritime Today


The Maritime Industry's original and most viewed E-News Service

Maritime Reporter January 2016 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Finance

Limit Exposure with the Uniform Commercial Code

Demanding assurance pursuant to the UCC may save you from sinking on someone else’s ship. Vessel operations require a large network of companies that come together

Baltic Index Touches New Record Low

The Baltic Exchange's main sea freight index, which tracks rates for ships carrying industrial commodities, registered a new all-time low on Monday on muted vessel demand.

Oversupplied Market Eyes Floating Storage Opportunities

Brent oil price reached lows of $27/bbl in mid-January, but has recovered over the past two weeks to above the $30/bbl mark. Nevertheless, volatility is expected

Energy

ALMACO Wins Statoil Order for 450 Cabins

ALMACO Group was awarded the contract to build 450 NORSOK-compliant Modular Cabins for Statoil’s Johan Sverdrup fixed platform at Apply Leirvik’s yard in Stord, Norway.

Oversupplied Market Eyes Floating Storage Opportunities

Brent oil price reached lows of $27/bbl in mid-January, but has recovered over the past two weeks to above the $30/bbl mark. Nevertheless, volatility is expected

Three Dead on Pemex Platform, Fire Under Control

Three workers were killed and at least seven injured when a fire broke out on a Pemex oil processing platform in the Gulf of Mexico, but the latest in a string of incidents is now under control,

Wind Power

SevenCs Supports MariGreen Project

SevenCs is part of the EU INTERREG V A cross-border project “MariGreen” to support the maritime industry in the transition towards more efficient, greener and more sustainable shipping.

Global Marine Takes Majority Stake in CWind

Global Marine Systems Limited has acquired a majority interest in offshore renewables specialist CWind Limited. According to Global Marine, the purchase demonstrates

EU Offshore Wind to Grow up to 2020

New capacity more than doubled in 2015 due backlog; existing projects to bring more expansion in coming years. Growth in new offshore wind capacity in Europe

Offshore Energy

ALMACO Wins Statoil Order for 450 Cabins

ALMACO Group was awarded the contract to build 450 NORSOK-compliant Modular Cabins for Statoil’s Johan Sverdrup fixed platform at Apply Leirvik’s yard in Stord, Norway.

Three Dead on Pemex Platform, Fire Under Control

Three workers were killed and at least seven injured when a fire broke out on a Pemex oil processing platform in the Gulf of Mexico, but the latest in a string of incidents is now under control,

HHI to Localise Main Equipment for Offshore Plants

Hyundai Heavy Industries and Doosan Heavy Industries Collaborate in Localizing Main Equipment for Offshore Plants   Seoul, South Korea – February 4 – Hyundai Heavy Industries (HHI),

 
 
Maritime Security Naval Architecture Navigation Pipelines Pod Propulsion Port Authority Ship Electronics Ship Repair Ship Simulators Winch
rss | archive | history | articles | privacy | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.0965 sec (10 req/sec)