Seatrium has issued an announcement confirming its contract for a 1,260MW offshore substation (OSS) platform for Empire Wind 2, valued at greater than S$250 million, has been cancelled.
Seatrium was awarded two contracts from Empire Offshore Wind LLC for the engineering, procurement, development, offshore hook-up and commissioning of two OSS platforms for the Empire Wind 1 and a couple of. The offshore wind farms are situated about 20 miles south of Lengthy Island east of the Rockaways.
Empire Offshore Wind LLC is a three way partnership between Equinor and bp, and earlier this week, the businesses terminated their settlement to promote energy to New York state from the Empire Wind 2 offshore wind farm, citing rising inflation, larger borrowing prices and provide chain points.
Building work on the Empire Wind 2 OSS Platform was anticipated to start in June 2024, with minimal engineering work carried out by Seatrium thus far. Seatrium mentioned it can avail development capability put aside for this challenge to different tasks within the pipeline. The contract is structured on progressive fee milestones, and fee for the work carried out thus far has been acquired, leading to impartial challenge cashflow.
Building work on the 810MW Empire Wind 1 OSS Platform commenced in 4Q 2023. Empire Offshore Wind LLC confirms the Empire Wind 1 challenge contract stays unaffected and continues as deliberate.
