visimoney
TLDR:
- Dominion Energy is seeking to sell a 50% stake in an offshore wind farm project off the coast of Virginia Beach to help finance the project.
- The sale, if approved, would not impact utility billing and is expected to close by the end of the year.
In an effort to finance the construction of an offshore wind farm off the coast of Virginia Beach, Dominion Energy has announced plans to sell a 50% non-controlling stake in the project. The company is looking to partner with Stonepeak, a New York firm with a significant amount of assets in infrastructure projects, including offshore wind installations.
The sale of the stake is part of a “de-risking” strategy by Dominion, as it seeks to share the costs and protect the project from potential overruns. The deal with Stonepeak is expected to be viewed positively by credit-rating agencies, benefiting both Dominion and its customers.
The offshore wind farm project, set to consist of 176 wind turbines generating power for 660,000 homes, is progressing on time and on budget. Stonepeak is set to contribute $3 billion towards the project and cover additional costs if needed. Construction is scheduled to begin next year with completion expected by the end of 2026.
Despite financing and regulatory challenges faced by other offshore wind projects, Dominion remains confident in the success of this venture. With a well-capitalized partner on board, the company aims to achieve its economic and environmental goals while providing an exceptional customer experience.
