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Ørsted Pulls Out of Norwegian Offshore Wind Partnership

Denmark’s Ørsted has decided to pull out of a Norwegian offshore wind partnership with Fred. Olsen Seawind and Hafslund.

“Ørsted have informed us that due to a prioritisation of investments in the portfolio they will withdraw from pursuing participation in offshore wind developments in Norway, and therefore their participation in the partnership will discontinue,” said Norway’s Bonheur in a statement.

Fred. Olsen Seawind, formerly called Fred. Olsen Renewables and Hafslund formed the consortium, named Blaavinge, with Ørsted in June 2021 to take part in offshore wind tenders in Norway.

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Hafslund and Fred. Olsen Seawind will continue to press ahead to pursue the Utsira Nord project and offshore wind in Norway generally, but the Blaavinge partnership is not in a position to pursue Sørlige Nordsjø II.

The Norwegian government officially opened the application window for Norway’s first offshore wind auction on 29 March, offering a combined capacity of 3 GW across two areas, 1.5 GW at Southern North Sea II (Sørlige Nordsjø II) and 1.5 GW at Utsira Nord.

The allocation of the first offshore wind areas will take place in early 2024.

The 1.5 GW of capacity at Utsira Nord will be awarded to three bidders through a competition based on qualitative criteria which will, among other things, facilitate innovation and technology development in floating wind. The minimum capacity of individual bids for Utsira Nord must be 460 MW, and the maximum capacity 500 MW.

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When it comes to Ørsted, the company recently decided to cancel two offshore wind projects in the US, Ocean Wind 1 and Ocean Wind 2 in New Jersey, due to supply chain issues and rising interest rates.


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