BP and Equinor today completed the formation of their strategic US offshore wind partnership.
This includes BP’s $1.1 billion purchase from Equinor of a 50% interest in two major lease areas off the US East Coast.
The new partnership will develop up to 4.4GW through two projects – Empire Wind and Beacon Wind – and together pursue further growth in the US offshore wind market.
The completion of the partnership follows the recent success of the Empire Wind 2 and Beacon Wind 1 projects in being selected to provide New York State with 2.5GW of power.
This is the biggest US offshore wind award to date.
Norwegian and British oil multinationals Equinor and BP have sealed their previously announced strategic offshore wind partnership, as part of which BP paid $1.1 billion for a 50% non-operating stake in Equinor's Empire Wind and Beacon Wind projects off the coasts of New York and Massachusetts
Equinor and bp form US offshore wind partnership
It comes as the two companies completed their previously announced deal, whereby Equinor sold a 50% interest in both the Empire Wind and Beacon Wind assets on the US east coast
Image: BP
Equinor and bp are combining their strengths to enable profitable growth in the offshore wind industry in the US with the formation of a strategic partnership.
It comes as the two companies completed their previously announced deal, whereby Equinor sold a 50% interest in both the Empire Wind and Beacon Wind assets on the US east coast for around $1.1 billion (£0.80bn)..
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Norway’s Equinor says it has closed its previously disclosed agreement with BP to sell 50 percent stakes in its Empire Wind and Beacon Wind projects, located offshore Massachusetts and New York, respectively, for $1.1 billion.
The transaction is the first step in Equinor’s strategic partnership with BP in the burgeoning U.S. offshore wind market. The agreement also marks BP’s first venture into offshore wind as the petroleum giant transitions its business to include more renewable energy sources.
Equinor will remain operator in both projects through the development, construction and operations phases.
In January, Equinor and BP were selected to develop two large offshore wind farms off New York State in what was said to be one of the largest renewable energy procurements in United States’ history.
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bp and Equinor have completed the formation of their strategic US offshore wind partnership. This includes bp’s US$1.1 billion purchase from Equinor of a 50% interest in two major lease areas off the US East Coast. The new partnership will develop up to 4.4 GW through two projects – Empire Wind and Beacon Wind – and together pursue further growth in the US offshore wind market.
The completion of the partnership follows the recent success of the Empire Wind 2 and Beacon Wind 1 projects in being selected to provide New York State with 2.5 GW of power. This is the biggest US offshore wind award to date. Together with the existing award to supply 816 MW from the Empire Wind 1 development, this represents a total commitment to provide 3.3 GW of renewable offshore wind energy to the State of New York.