Danish energy company Ørsted has agreed to take full ownership of the 924MW Sunrise Wind offshore wind farm in the US by acquiring its partner Eversource’s 50% stake.

The Sunrise Wind offshore wind project is proposed to be built in New York, at least 48km east of Montauk Point. It is expected to power nearly 600,000 homes.

Ørsted did not reveal the financial details of the deal. However, the company said that the transaction is subject to various conditions.

These include the successful project award in the New York 4 solicitation and signing an Offshore Wind Renewable Energy Certificates (OREC) contract with New York State Energy Research and Development Authority (NYSERDA). The deal is also contingent on entering into long-form acquisition agreements, obtaining the construction and operations plan (COP), and regulatory approvals.

In the event of Sunrise Wind failing to secure success in the solicitation, the prevailing OREC contract for the project will be annulled in accordance with state regulations, and the 50:50 joint venture between Ørsted and Eversource for Sunrise Wind will persist.

In this scenario, the joint venture will assess its subsequent actions. Conversely, if the project attains provisional award status, a new contract will be negotiated with NYSERDA, aligning with the revised terms of the current solicitation.

Ørsted executive vice president and region Americas CEO David Hardy said: “Following a thorough risk review of our US portfolio, we’re comfortable with taking full ownership of Sunrise Wind if the project is awarded in New York 4. This transaction is a value-accretive opportunity for Ørsted and the best path forward for the project.

“Sunrise Wind will be our third offshore wind farm off the northeast coast, following South Fork and Revolution Wind, which are already under construction. The northeast is an increasing priority for Ørsted, including these projects, port assets, a trained workforce, and supply chain partners.”

According to Ørsted, Sunrise Wind is the most advanced offshore wind project in New York’s development lineup. It is anticipated to be completed in 2026 if awarded in the New York 4 solicitation.

Additionally, the project’s design has garnered approval from all pertinent state agencies, and with major supplier and project labour agreements in place, construction is set to commence promptly following the award. The attainment of final federal permits is anticipated this summer.