'Next great US frontier'? | TotalEnergies-led venture scopes 3GW of floating wind off Oregon

Deep Blue Pacific, formed by French oil major and Irish developer Simply Blue, nominates pair of projects with gigascale total capacity into two of three areas in waters off Beaver state

. Kevin Banister Simply Blue Energy.
. Kevin Banister Simply Blue Energy.Foto: SBE

Deep Blue Pacific, a tie-up between French oil major TotalEnergies and Irish outfit Simply Blue focused on development of floating wind in the US northwest, has been the first to submit proposals for projects in newly opened deep waters off the state of Oregon.

The joint venture (JV) nominated a pair of floating projects with 3GW of capacity into the two areas proposed by the Bureau of Ocean Energy Management (BOEM), the federal regulator of energy development on the outer continental shelf.

“The next great frontier of renewable energy is floating wind and with some of the best resources available, Oregon has the potential to be a global leader,” said Deep Blue Pacific president Kevin Banister.

Deep Blue Pacific director of government and external affairs Peter Cogswell added: “Oregon is known for taking bold steps to protect our public lands and waters. Floating wind is good for Oregon’s future and can bring permanent jobs and new industries to towns along the coast.”

BOEM in February issued a ‘call for nominations’ for commercial interest in floating wind in two regions of southern Oregon, including Coos Bay, said to have 10.5GW of potential, and Brookings with 3.5GW. The call areas initiated by BOEM cover a total area of 1,800 square miles (4,662km2) with a total of 14GW of capacity but are expected to be whittled down through consultation with stakeholders and industry before award. Deep Blue Pacific nominated two projects in Coos Bay and one in Brookings.
TotalEnergies is making a big play in US offshore wind, with a huge lease award in the New York Bight auction in February and a smaller but still impressive win in the Carolina Long Bay in May, and aims for 100GW of offshore wind capacity globally by 2030. Simply Blue, meanwhile, is involved in 8GW of floating projects in the UK, Sweden, and Ireland.
TotalEnergies and Simply Blue last year formalised a JV for floating wind projects off the US, bolstered recently by the addition of a trio of industry pioneers “to unlock untapped deepwater opportunities that will provide renewable electricity to millions” of American homes.

Deep Blue Pacific is focused primarily on Oregon, which has some of the richest wind resources in the US, according to the National Renewable Energy Laboratory (NREL), with average wind speeds exceeding 10 metres per second and a gross power capacity of 169GW.

[The JV is not looking to bid into the upcoming California lease auctions due to TotalEnergies involvement with long-time California developer Castle Wind, but will be looking at future auction rounds in the Golden State.]

Oregon is also a longstanding leader in renewable energy development – according to the US Energy Information Administration the state already derives some 68% of its power from renewable sources, primarily hydropower – with state law targeting net-zero emissions by 2040.

Last year the state legislature passed HB3375 authorising up to 3GW of offshore wind development, and BOEM anticipates auctions for leasing in the call areas as early as 2024.

Interest has seemingly been muted, however, with Deep Blue Pacific the only developer so far to have nominated projects, possibly reflecting the challenge of developing projects off Oregon’s remote coasts, although both Cogswell and Alana Duer, head of project development for the JV, say that developer interest is high and attribute the lack of comment to lags in BOEM’s internal processes.

Nevertheless, Oregon faces a raft of challenges in bringing its offshore wind power resource to market. The waters off its coasts are even deeper than those off northern California, as great as 1,300-2,000 metres, and far beyond those of the current generation of floating wind projects, which currently extend to some 200 metres.

Duer confirmed to Recharge that the locations Deep Blue identified for its nominated projects were in the shallower locations within the call areas, ranging from 500-1,300 metres deep.
Mooring solutions for even deeper waters for the offshore oil sector exist, but questions remain whether they can be cost-effectively modified for floating wind. Banister told a recent Recharge roundtable that the JV will leverage TotalEnergies’ prowess in offshore oil & gas for its floating wind projects.

Oregon is also a mostly rural state with only 4 million residents and lacks significant load centres in proximity to the call areas.

NREL estimates that Oregon’s grid could handle around 2.6GW of offshore wind power injection without significant upgrades, but any more would require substantial investment into transmission, made more difficult by Oregon’s low priced power at $0.09/kWh, below the national average of $0.11/kWh and well-below prices paid in the northeast, where the offshore wind industry is emerging.

As in most of the US, port capacity is another obstacle to development. The former timber port of Coos Bay has been touted as a possible centre for offshore wind development, with the potential to handle 350MW of floating wind manufacturing and assembly, but will need an estimated $475m in investment to make it offshore wind-ready.

While Oregon is known for its progressive politics, a recent meeting between BOEM and Oregon fisheries grew rancorous, with representatives calling for more studies and an industry slowdown to allow for further studies on the impact of floating wind on the marine ecosystem.

Oregon is one of seven key US offshore areas currently in the spotlight at BOEM, along with the Gulf of Maine, New York Bight, the Central Atlantic, the Gulf of Mexico, the Carolinas and California, to underpin Washington’s aim of having 30GW of wind plant operating at sea by the end of the decade.
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Published 29 June 2022, 10:18Updated 16 October 2023, 15:28
OregonUSTotalEnergiesSimply Blue EnergyUS Pacific