DEME and Prysmian Land EUR 1.6 Billion Offshore Wind Contract in US

US energy company Dominion Energy has selected the consortium of DEME Group and Prysmian as the Balance of Plant (BoP) contractors for the 2.6 GW Coastal Virginia Offshore Wind (CVOW) project.

Siemens Gamesa/Illustration

The BoP contract includes the complete package for the transportation and installation of the foundations and the substations, and the engineering, procurement, construction, and installation (EPCI) services for the inter-array and export cables for the future largest commercial offshore wind farm in the United States.

DEME Offshore’s CVOW BoP contract includes the transport and installation of 176 monopile transition piece foundations, three offshore substations, scour protection, and the supply and installation of export and inter-array submarine cable systems. DEME Offshore will oversee the complete offshore installation works for the foundations, substations, infield cables, as well as part of the export cables.

Luc Vandenbulcke, CEO, DEME Group, said: ”Following the award of the Vineyard offshore wind project installation works for foundations, substation and wind turbines and South Fork cable installation works, this partnership with Dominion Energy is an endorsement of our expertise and track record in enabling the energy transition process in the U.S. This contract further reaffirms DEME’s position as the pre-eminent contractor in the offshore wind installation industry both in the U.S. and globally.”

This project is a major milestone for Prysmian Group, as it is the first cable company in the offshore wind industry to sign a BoP contract, the Italian cable maker said.

The total value of the contract is approximately EUR 1.6 billion, of which around EUR 630 million is related to Prysmian for the cable supply and the installation works under its responsibility. The project is expected to be completed by 2026.

”This is Prysmian Group’s first Balance of Plant contract and our first in partnership with the DEME Group. Two companies, which are both leaders in their own field, are partnering to offer a winning solution to Dominion Energy,” said Hakan Ozmen, EVP Projects, Prysmian Group.

”Dominion Energy decided to award the contract to the Prysmian-DEME consortium in light of their unique combination of financial strength, experiences, expertise, fleet and cable supply capabilities, which are unparalleled in the industry and fundamental for the smooth management of large-scale projects such as the Coastal Virginia Offshore Wind, as they allow to reduce interface risks during the project execution phase.”

CVOW is located approximately 43 kilometres off the coast of Virginia Beach.

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Prysmian Group will provide three 3-core 220kV HVAC export cables measuring approximately 62 kilometres each, with XLPE insulation and single-wire armouring, for a total of approximately 560 kilometres.

The company will also supply 320 kilometres of 3-core 66kV offshore inter-array cables with XLPE insulation.

The offshore wind farm, made up of a total of 176 Siemens Gamesa 15 MW turbines, will be capable of supplying clean power to as many as 660,000 households, Prysmian said.

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”Prysmian Group is an experienced, industry leader and plays a key role in supplying the subsea cables that will help us deliver the clean, renewable offshore wind energy onshore, so it can ultimately reach our customers’ homes and businesses,” said Joshua Bennett, Dominion Energy vice president of offshore wind.

The export cables will be produced in Arco Felice, Italy, and Pikkala, Finland, while the inter-array cables will be manufactured in Nordenham, Germany.

Following the award of the EUR 200 million Vineyard Wind project and the USD 900 million SOO Green HVDC link, the Coastal Virginia Offshore Wind project is an important addition to Prysmian Group’s growing submarine cable system portfolio in North America.

”As Prysmian Group we consider US central in our growth strategy and the renewed Biden Administration’s strong commitment on the development of infrastructure supporting the energy transition is something really positive. Following the award of the Vineyard submarine offshore project and the SOO Green HVDC link, the Dominion Energy project represents a further confirmation of our major role in helping our customers meet their goals,” said Valerio Battista, CEO, Prysmian Group.