Page 42: of Offshore Engineer Magazine (May/Jun 2024)

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OFFSHORE WIND SHOW ME THE MONEY

Image courtesy Ørsted

ECO Edison, the first purpose-built US Flag SOV.

to CVOW before the WTIV moves on to other projects pire 1’s project costs had been estimated at around $3 billion serving the coastal United States. Assuming a 15 to 20- in 2021, prior to a substantial bump up in early 2024. year useful life for the asset, which would then move on Construction of vessels in U.S. yards for the offshore to other installations, around $60 - $80 million capital wind market can beneft from the U.S. Maritime Admin- cost might be attributed to CVOW. Contrast these ‘back istration’s (MARAD) Title XI program, which provides of the envelope’ estimates with overall CVOW project government support for long term fnancings, available for costs pegged at between $9.8 billion and $11.3 billion - ‘vessels of national interest’. Dominion’s CVOW will be construction in non-U.S. yards is less. supported by a Service Operation Vessel (SOV), to be op-

Cadeler, a leader in the WTIV space, explained in its erated by CREST Wind, owned by U.S. company Crow- end 2023 annual report that it had orders with Asian yards ley and Danish specialist Esvagt, under a long-term charter

Cosco and Daewoo in place for six newbuilds, and that the with turbine behemoth Siemens Gamesa now under con- aggregate capital expenditures for the newbuilds are ap- struction at Fincantieri’s Bay Shipbuilding. According to proximately €1.8 billion. This works back to €300 million, MARAD flings, this vessel is priced at $168 million. A hy- or roughly $330 million, for each unit. brid-powered SOV for Equinor’s Empire Wind, also based

When Maersk Supply’s WTIV order with the Sembcorp in Brooklyn, to be delivered from Edison Chouest’s LA- yard in Singapore, was announced in late 2022, reports in Ship yard in Houma, Louisiana, has been priced at $109 shipping media pegged its capital cost at $350 million. The million, MARAD states, under the reported 10-year char-

WTIV, when delivered, will initially be deployed at Equinor’s ter, that comes to around $11 million each year. In mid- 810 MW Empire Wind feld, set to come online in 2026. A May, 2024, another SOV, Eco Edison, also built by Edison

Jones Act compliant subsidiary of Kirby Corporation will Chouest, was christened at the Port of New Orleans. It will provide a feeder service, bringing components out from a be serving three projects tied to Ørsted and Eversource, one-time containership terminal in Brooklyn for installation. tasked with handling the land side. These include South

Assuming a 20-year lifespan, the WTIV’s capital cost for a Fork Wind, Sunrise Wind and Revolution Wind, a 704 one-year timeframe works back to $35 million. Overall Em- MW project, offshore Rhode Island. 42 OFFSHORE ENGINEER OEDIGITAL.COM