Fugro has secured contracts to carry out geophysical surveys at the Atlantic Shores and Mayflower Wind offshore wind projects in the U.S., according to the company’s latest financial results.
Mayflower Wind is being developed by a joint venture of Shell New Energies US and EDPR Offshore North America some 40km south of Nantucket, Massachusetts.
The offshore wind project was chosen by the Commonwealth of Massachusetts in 2019 to supply 804MW of capacity with the expected start-up in 2025.
Atlantic Shores, a joint venture of EDF Renewables North America and Shell New Energies, plans to build multiple projects over the next decade within a 183,000ha lease area offshore New Jersey, which has the potential to generate 2.5GW of wind energy.
According to Fugro’s 2019 financial results, the adjusted EBIT margin of the core business rose to 4.2% from 1.9% last year, driven by the improved performance of the marine business, particularly in the offshore wind market.
Comparable revenue of the core business increased by 2.7%. Comparable revenue growth in the marine business was strong at 5.7%, which was driven by site characterization for offshore wind farms and hydrography, especially in Europe-Africa and Americas.
The company also noted it had recently secured a contract for geotechnical site investigation at an offshore wind farm in the North Sea.
“I am pleased to announce a second year of recovery with continued revenue growth and margin expansion and strongly improved free cash flow. Revenue growth of 2.7% was modest but came on top of a very strong increase last year and was impacted by our focus on profitability and cash flow,” said Fugro CEO Mark Heine.
“We have become a much more resilient company. By now, around 50% of our revenue is generated in offshore wind, hydrography and infrastructure. In a rapidly changing world, there are ample opportunities for us to contribute to the safe, sustainable and efficient development and operation of our clients’ assets.”