'A US-Korean offshore wind first' as Pacifico inks deal for 3GW giant
Developer to tap HSG Sungdong Shipbuilding for foundations for cluster said to be among largest in Asia
Pacifico Energy, a US-founded group with big ambitions in Asia, has signed a memorandum of understanding (MoU) with South Korea’s HSG Sungdong Shipbuilding for supply of foundations for the 3.2GW Jindo offshore wind farm project under development by Pacifico Energy Korea (PEK).
The two companies signed the MoU today (Friday) at a ceremony attended by representatives of the US government and trade entities as well as Ha Woon-sik, the regional head of wind turbine manufacturer GE Vernova.
PEK described the partnership “the first between Korean and American offshore wind companies and one that aims to accelerate the green energy transition and strengthen regional supply chains in Korea".
HSG Sungdong has been attempting to position itself as the leading supplier of large substructures for South Korea’s emerging floating wind market.
Pacifico Energy Korea has said its three-phase 3.2GW project in Jindo County, South Jeolla Province will be one of the largest offshore wind clusters in the Asia-Pacific region. It said it currently plans to deploy fixed-foundation wind at all phases.
It is expected to start this with development of the 420MW fixed-bottom MyeongRyang Offshore Wind Project, for which the community consenting process is proceeding and licensing applications underway, reportedly with an eye on 2029 completion. This will be followed by Manho Offshore Wind (990MW), and Jindo Baram Offshore Wind (1.8GW).
PEK says it plans to develop an additional 2-3GW offshore wind power projects in other areas of Korea.
Under PEK’s MoU with HSG Sungdong, the two parties said they will develop a long-term strategic partnership in domestic and international offshore wind markets while fostering supply chain development in the Jindo County region and surrounding areas.
The MoU was widely reported by Korean media, with PEK director Seung-Ho Choe reportedly stating: “Cooperation between offshore wind developers and Korean suppliers is key to success in the development of gigawatt-scale offshore wind projects as well as Korea becoming ‘Green Transition Hub’ in the Asia-Pacific region.”
Pacifico Energy, which is today headquartered in Japan, formed a joint venture with UK-based SSE Renewables in 2021, aimed at development of ‘multi-gigawatt’ fixed and floating projects.
Philippines facility
The MoU was the second example this month of cooperation between US and South Korean companies looking to the offshore wind space.
US private equity firm Cerberus Capital Management entered into an agreement with with Hyundai Heavy Industries (HHI) last week covering the lease of the Cerberus-owned Agila Subic shipyard at a former US Naval base in the Philippines.
The partners stated that HHI plans to use the leased site for the fabrication of offshore wind substructures, as well as for the expansion of its older ship maintenance, repair and overhaul business.
The Philippines’ President Ferndinand Marcos Jr, who hosted a signing ceremony, said the expected $550m in new investment by HHI would give the nation’s shipyards a “fresh start”.
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