Statoil awards Dudgeon offshore wind turbine contracts to Siemens

Source:Statoil

The Sheringham Shoal Offshore Wind Farm. (Photo: Alan O'Neill)

As operator, Statoil (OSE: STL, NYSE: STO) has awarded two contracts to Siemens (NYSE: SI) for the engineering, supply, assembly, commissioning and service of 67 wind turbine generators for the Dudgeon Offshore Wind Farm project.

The wind turbine generator (WTG) supply contract will cover engineering, procurement, assembly and offshore commissioning. Each turbine (6.0 MW) consists of a tower section, a nacelle and three separate rotor blades (154-metre rotor diameter).

The engineering work will commence in January 2014 and contributes to design development of the project's design work for foundations and electrical infrastructure. The first batch of turbines shall be ready for load out and installation January 2017.

The service contract will cover operations and maintenance of the WTGs through the first two years after installation is completed, followed by three years where Siemens provides Dudgeon with technicians and other agreed services.  The estimated value for both contracts is $849 million (£516 million).

The execution of the Dudgeon Offshore Wind Farm project is subject to final investment decision in Q3 2014.

Statoil renewable energy senior vice president Siri Espedal Kindem states that this is a significant milestone for the Dudgeon offshore wind project and its owners.

"The new turbine contract will secure planned progress in the Dudgeon project towards full operation during 2017. Technology development is fundamental to optimizing offshore wind industry costs and solutions, and the use of new large turbines such as these is a main contributor to reducing offshore wind costs."

The Dudgeon Offshore Wind Farm is Statoil's second full-scale commercial offshore wind project, and a key project in Norfolk.

Following a successful partnership in developing the Sheringham Shoal Offshore Wind Farm off the coast of North Norfolk, Statoil and Statkraft are working together to develop Dudgeon.

Once in operation, the wind farm will provide renewable energy to approximately 400,000 households in the UK market.

"This WTG contract is important for further developing the Dudgeon project towards concept selection and a final investment decision in 2014. We have gained valuable experience to build on from Sheringham Shoal from both the installation and operational phases," says Statoil offshore wind project vice president Halfdan Brustad.

"In Dudgeon we seek to optimize solutions even further to bring down electricity costs, and we will have a strong cooperation with Siemens in operation and maintenance to ensure high regularity."

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