New joint venture aims to 'strengthen the US offshore wind supply chain' in manufacturing and ports

New York-based Empire Energy announces partnership with Herrick on manufacturing of fixed and floating foundations, towers, and transition pieces as well as services

Blades being unloaded for Dominion Energy's Coastal Virginia Offshore Wind array
Blades being unloaded for Dominion Energy's Coastal Virginia Offshore Wind arrayPhoto: Recharge

Recently formed Empire Energy Partners and longstanding West Coast steel fabricator Herrick Corporation have formed a joint venture (JV) to explore domestic manufacturing of monopiles, transition pieces, towers, and secondary steel for both fixed and floating offshore wind projects, the companies announced Monday.

New York-based Empire is a new player in the US offshore wind industry, having formed only last year “in response to the increasing demand for specialised services in offshore wind projects, from construction and installation to ongoing operations and maintenance,” communications director James Rudoni told Recharge.

Herrick in Stockton, California has been in business over a century, but this is its first foray into offshore wind.

“This joint venture marks a critical milestone in our ongoing efforts to strengthen the U.S. offshore wind supply chain,” said Mike Milledge, senior director of offshore wind at Empire Energy Partners.

“By combining our expertise with Herrick Corporation's industry-leading steel manufacturing capabilities, we are well-positioned to support the nation's renewable energy goals with a focus on quality, scalability, and sustainability.”

Robert Hazleton, Herrick CEO said: “The ability to combine engineering, procurement and fabrication at scale into a single entity is the key to cost-effective domestic production of floating bases and monopiles.”

The US offshore wind supply chain is ramping as 15GW of approved capacity lines up for installation through the rest of decade.

National Renewable Energy Laboratory (NREL) reports some $10bn in investment has flowed into offshore wind supply chains since early 2021, including $2.1bn in 2023 alone in ports, vessels, workforce development, and other segments, galvanised by President Joe Biden's administration's target of 30GW by 2030.
Generous tax credits in landmark climate legislation the Inflation Reduction Act have spurred billions in clean energy investment, but offshore wind manufacturing has struggled to get established following massive project disruptions last year due to inflation and supply chain turmoil.
Costs estimates hiked 45%, leading to project cancellations that disrupted major investments. Projects currently in construction, including Dominion Energy's nation-leading Coastal Virginia Offshore Wind (CVOW) array were largely insulated from inflation through early procurement.

The laboratory under the Department of Energy estimates at least $22bn will be needed “to establish the US offshore wind supply chain.”

The partners are looking at several market segments, including manufacturing of essential components such as blades and towers, but also port infrastructure and services.

Empire Energy Offshore and Herrick Corporation “combine strengths in engineering, manufacturing, and construction to offer end-to-end solutions” to meet the needs of the industry, the partners said.

“This is an important partnership that leverages American steel production to expand the US supply chain and, with the company’s location on the West Coast, open the door to floating component manufacturing,” said Ross Gould, vice president of supply chain development and research at industry group Oceantic Network.

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Published 14 October 2024, 21:28Updated 15 October 2024, 15:32
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