Dominion Energy has completed a transaction to sell a 50% non-controlling interest in its 2,600MW Coastal Virginia Offshore Wind (CVOW) project to Stonepeak. While Dominion Energy will retain full operational control of both construction and operations, Stonepeak will hold customary minority rights.
The sale is part of Dominion's broader business review and debt reduction strategy, with the company reducing approximately $21 billion in debt through various transactions. Proceeds from the CVOW transaction amounted to $2.6 billion, covering 50% of the project's capital investments to date. Stonepeak will also fund half of the remaining project costs, under agreed terms.
The CVOW project, consisting of 176 turbines and three offshore substations over 113,000 acres near Virginia Beach, remains on schedule and within budget. Robert M. Blue, CEO of Dominion Energy, highlighted the strategic partnership with Stonepeak, emphasizing its benefit to both the project and the people of Virginia. Rob Kupchak, senior managing director at Stonepeak, echoed this sentiment, stating that the investment aligns with Stonepeak's focus on essential infrastructure.
The partnership will play a key role in advancing CVOW, one of the largest offshore wind projects in the U.S., towards its commercial operation.
