First US offshore wind-ready steel rolls off Nucor's Kentucky mill to meet 'crucial' need
Facility fills critical market gap as nation's offshore wind-driven demand for steel is expected to exceed six million metric tonnes by 2030
The US’ first offshore wind-ready steel mill – Nucor’s $1.9bn state-of-the-art facility in western Kentucky – recently rolled out its first plate, filling a critical need for the domestic sector supply chain.
S&P Global Platts forecasts that global wind industry steel consumption will double by 2030 to reach 144 million tonnes on an anticipated 960GW buildout.
The Brandenburg facility in the country’s interior will be among the few mills worldwide capable of manufacturing at scale the heavy gauge plate used in wind tower monopile foundations. Nucor continues to commission the mill for commercial launch this quarter.
“We are looking forward to supplying not only the highest qualify steel but also the most sustainable plant products in the world for our nation’s military, infrastructure, heavy equipment, offshore wind, and other markets,” said Nucor CEO Leon Topalian.
Steel bottleneck
A key bottleneck in the US supply chain is insufficient capacity for offshore wind-calibre steel even as investments into foundation and tower fabrication expand.
Steel comprises as much as 90% of an offshore wind installation, with monopiles supporting 15MW turbines fabricated from plate 55 millimetres (2 inches) thick, boasting diameters of 10 metres (33 feet) and weighing in at 2,500-tonnes, according to the National Renewable Energy Laboratory.
Nyserda calculates that requiring US-made steel would drive up construction costs to “between $98,000/MW and $393,000/MW compared to globally sourced structural iron and steel”.
Nucor’s plant will have capacity to produce plates up to 355mm thick in plates 38 metres (125 feet) long.
“We applaud Nucor Steel’s leadership in opening the first US steel mill capable of making steel plates that have the requisite thickness for offshore wind manufacturing,” said Sopko.
US Wind is currently obtaining necessary permits to build the plant in support of its 270MW MarWin and 808MW Momentum Wind projects as well as others, but wouldn’t confirm if it would source steel from Nucor.
Plans are ongoing for several other foundation, tower, and transition piece fabricators in the US, with state procurement rules and federal legislation offering multiple tax incentives for domestic production.
German steel fabricator EEW’s monopile maker in Paulsboro is the farthest along and should be ready to meet the timeline for the Orsted-led 1.1GW Ocean Wind 1 project, slated for approval and start of construction this year.
The steel mill in Kentucky 700 miles from the nearest offshore wind development is a signal of the deepening of the US supply chain throughout the nation.