Equinor Reaches Financial Close for Empire Wind 1 Project

Credit:equinor

Equinor has achieved financial close on its 810MW Empire Wind 1 wind project in the United States, securing a project financing package exceeding $3 billion. The financing, backed by strong interest from lenders, was secured on competitive terms with participation from several of Equinor's relationship banks, the Norwegian energy company announced.

Empire Wind 1 will become the first offshore to connect to New York City's power , with commercial operations slated to begin in 2027. The project marks a significant step forward for the U.S. offshore wind sector and Equinor's ambitions. “Today's financial close maintains our momentum toward bringing a significant source of power to the grid. Empire Wind 1 will strengthen U.S. energy security, build economic growth, and fuel a new American supply chain,” said Molly Morris, Equinor's senior vice president for renewables in the Americas.

The project involves a total investment of approximately $5 billion, inclusive of expected future tax credits and fees for the redevelopment of the South Brooklyn Marine Terminal. Construction and redevelopment efforts are expected to generate over 1,000 union jobs during the project's construction phase.

Equinor acquired the Empire Wind lease area in 2017 and, in June 2024, signed a 25-year Purchase and Sale Agreement (PSA) with the New York State Energy and Development Authority. The deal sets a strike price of $155 per megawatt-hour, aligning with the support framework for the emerging U.S. offshore wind industry.

As part of its strategy to optimize project value and reduce financial exposure, Equinor plans to farm down its stake in Empire Wind 1 by introducing a new partner. “This is an important milestone for Equinor, in line with our plan to enhance value and reduce exposure in the Empire Wind 1 project,” said Jens Okland, acting executive vice president for renewables at Equinor. “As we now enter full execution mode, we continue our efforts to increase robustness and value-creation in the project.”

Empire Wind 1 underscores Equinor's commitment to advancing renewable energy development in the United States while contributing to New York's ambitious clean energy targets.

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