Equinor said it will continue developing its 750-megawatt Firefly/Bandibuli floating wind project off South Korea, despite reports that the developer has missed a final deadline to sign a state-backed revenue support contract linked to the project.
A company spokesperson said Equinor would remain engaged with authorities and other stakeholders in South Korea, after industry analysts warned that failing to finalise the Renewable Energy Certificate (REC) awarded in the country’s 2024 auction could prevent the project from participating in future auctions for up to five years.
“Equinor continues its efforts to mature the Bandibuli project as an investible and bankable project,” the spokesperson said.
The company added that it would maintain discussions with relevant parties and align its approach with South Korean government policy. “We will continue to have constructive dialogue regarding the maturation of the project and engage with relevant stakeholders in Korea, and will continue to align with the direction set by the Korean authorities,” the spokesperson said.
The commercial-scale floating wind project is planned off the coast of Ulsan, a region seen as central to South Korea’s offshore wind ambitions. However, the development has faced rising cost pressures, with consultancy Rystad Energy saying the project has been hit by “severe” inflation that has driven large increases from initial cost estimates.
South Korea has been seeking to accelerate offshore wind deployment through auction-backed revenue mechanisms, as it looks to expand renewable generation and reduce emissions from its power sector.
