Dominion Energy Secures 176,505-acre Lease Area from the Bureau of Ocean Energy Management For Potential Regulated Offshore Wind Development
Dominion Energy has secured a 176,505-acre lease area off the coast of Virginia Beach for potential offshore wind development. The company submitted a winning bid of $17.7 million, equating to $100 per acre. This acquisition provides Dominion Energy with the option to deploy additional regulated offshore wind generation to meet growing electric demand and support the goals of the Virginia Clean Economy Act.
The new lease area could support between 2.1 and 4.0 gigawatts of offshore wind energy generation. It is located approximately 35 nautical miles from the Chesapeake Bay. This acquisition follows the company's recent purchase of the Kitty Hawk Wind North lease area, now renamed CVOW South, with a potential capacity of 800 MW.
Dominion Energy's focus remains on completing its 2.6-gigawatt Coastal Virginia Offshore Wind (CVOW) project, which is currently on time and on budget, with expected in-service by the end of 2026.
Dominion Energy ha acquisito un'area di affitto di 176.505 acri al largo della costa di Virginia Beach per lo sviluppo potenziale di energia eolica offshore. L'azienda ha presentato un'offerta vincente di 17,7 milioni di dollari, pari a 100 dollari per acro. Questa acquisizione fornisce a Dominion Energy l'opzione di implementare ulteriore generazione eolica offshore regolamentata per soddisfare la crescente domanda di elettricità e supportare gli obiettivi della Virginia Clean Economy Act.
La nuova area di affitto potrebbe supportare tra 2,1 e 4,0 gigawatt di generazione di energia eolica offshore. Si trova a circa 35 miglia nautiche dalla Chesapeake Bay. Questa acquisizione segue l'acquisto recente da parte dell'azienda dell'area di affitto Kitty Hawk Wind North, ora ribattezzata CVOW South, con una capacità potenziale di 800 MW.
Il focus di Dominion Energy rimane sul completamento del suo progetto Coastal Virginia Offshore Wind (CVOW) da 2,6 gigawatt, che è attualmente in linea con i tempi e il budget previsti, con previsto avvio al servizio entro la fine del 2026.
Dominion Energy ha asegurado un área de arrendamiento de 176,505 acres frente a la costa de Virginia Beach para un posible desarrollo de energía eólica marina. La empresa presentó una oferta ganadora de 17.7 millones de dólares, equivalentes a 100 dólares por acre. Esta adquisición proporciona a Dominion Energy la opción de desplegar generación eólica marina regulada adicional para satisfacer la creciente demanda eléctrica y apoyar los objetivos de la Virginia Clean Economy Act.
La nueva área de arrendamiento podría soportar entre 2.1 y 4.0 gigavatios de generación de energía eólica marina. Se encuentra a aproximadamente 35 millas náuticas de la Bahía de Chesapeake. Esta adquisición sigue a la reciente compra por parte de la empresa del área de arrendamiento Kitty Hawk Wind North, ahora rebautizada como CVOW South, con una capacidad potencial de 800 MW.
El enfoque de Dominion Energy sigue siendo completar su proyecto Coastal Virginia Offshore Wind (CVOW) de 2.6 gigavatios, que actualmente está a tiempo y dentro del presupuesto, con un inicio de servicio esperado para finales de 2026.
도미니언 에너지는 버지니아 비치 해안에서 176,505 에이커의 임대 지역을 확보하여 해상 풍력 개발 가능성을 열었습니다. 이 회사는 에이커당 1,770만 달러의 낙찰가로 입찰에 성공하였습니다. 이번 인수는 도미니언 에너지가 증가하는 전력 수요를 충족하고 버지니아 청정 경제법의 목표를 지원하기 위해 추가적으로 규제된 해상 풍력 생산을 배치할 수 있는 선택권을 제공합니다.
새로운 임대 지역에서는 2.1에서 4.0 기가와트의 해상 풍력 발전을 지원할 수 있습니다. 이 지역은 체서픽 만에서 약 35 해리 떨어져 있습니다. 이 인수는 최근 회사가 800 MW의 잠재 용량을 가진 캐티 호크 윈드 노스 임대 지역을 CVOW 사우스로 이름을 바꾼 것에 이어 이루어졌습니다.
도미니언 에너지는 2.6 기가와트 규모의 코스탈 버지니아 해상 풍력(CVOW) 프로젝트를 완료하는 데 집중하고 있으며, 이는 현재 일정과 예산을 준수하고 있으며 2026년 말까지 서비스 개시가 예상됩니다.
Dominion Energy a sécurisé une zone de location de 176 505 acres au large de la côte de Virginia Beach pour un développement potentiel de l'énergie éolienne en mer. L'entreprise a soumis une offre gagnante de 17,7 millions de dollars, soit 100 dollars par acre. Cette acquisition offre à Dominion Energy l'option de déployer une production éolienne offshore réglementée supplémentaire pour répondre à la demande électrique croissante et soutenir les objectifs de la Virginia Clean Economy Act.
La nouvelle zone de location pourrait soutenir entre 2,1 et 4,0 gigawatts de production d'énergie éolienne en mer. Elle est située à environ 35 milles marins de la baie de Chesapeake. Cette acquisition fait suite à l'achat récent par l'entreprise de la zone de location Kitty Hawk Wind North, maintenant renommée CVOW South, avec une capacité potentielle de 800 MW.
Dominion Energy continue de se concentrer sur l'achèvement de son projet Coastal Virginia Offshore Wind (CVOW) de 2,6 gigawatts, qui est actuellement à temps et dans les limites du budget prévu, avec une mise en service prévue d'ici la fin de 2026.
Dominion Energy hat ein 176.505 Acres großes Pachtgebiet vor der Küste von Virginia Beach für die potenzielle Entwicklung von Offshore-Windenergie gesichert. Das Unternehmen hat ein erfolgreiches Gebot in Höhe von 17,7 Millionen Dollar abgegeben, was 100 Dollar pro Acre entspricht. Diese Akquisition gibt Dominion Energy die Möglichkeit, zusätzliche regulierte Offshore-Windkraft zu installieren, um die wachsende Stromnachfrage zu decken und die Ziele des Virginia Clean Economy Act zu unterstützen.
Das neue Pachtgebiet könnte zwischen 2,1 und 4,0 Gigawatt an Offshore-Windenergiekapazität unterstützen. Es befindet sich etwa 35 Seemeilen von der Chesapeake Bay entfernt. Diese Akquisition folgt dem kürzlichen Kauf des Kitty Hawk Wind North-Pachtgebiets durch das Unternehmen, das jetzt in CVOW South umbenannt wurde und eine potenzielle Kapazität von 800 MW hat.
Der Fokus von Dominion Energy liegt weiterhin auf dem Abschluss seines 2,6-Gigawatt-Projekts Coastal Virginia Offshore Wind (CVOW), das derzeit im Zeit- und Kostenrahmen liegt und voraussichtlich Ende 2026 in Betrieb genommen wird.
- Secured 176,505-acre lease area for potential offshore wind development
- New lease area could support between 2.1 and 4.0 gigawatts of wind energy generation
- Recently acquired CVOW South with potential 800 MW capacity
- CVOW project on time and on budget, expected in-service by end of 2026
- 54 monopiles installed since May 22, 2024, consistent with target of 70-100 for the first installation season
- Significant investment of $17.7 million for the lease area
- No estimated timeline or cost for development of CVOW South or the new leasehold
Insights
Dominion Energy's acquisition of a 176,505-acre lease area for $17.7 million is a strategic move to expand its offshore wind portfolio. This $100 per acre investment could potentially yield 2.1 to 4.0 gigawatts of clean energy generation, significantly boosting the company's renewable capacity. The deal, combined with the recent Kitty Hawk Wind North acquisition, positions Dominion as a major player in the U.S. offshore wind market.
However, investors should note that while this expansion aligns with the Virginia Clean Economy Act and growing demand, offshore wind projects often face lengthy development timelines and regulatory hurdles. The lack of a specific timeline or cost estimate for these new projects introduces uncertainty. The company's ability to keep its flagship 2.6-gigawatt CVOW project on time and budget will be important for investor confidence in these new ventures.
Dominion Energy's
Investors should focus on the company's ability to monetize these assets effectively. The successful execution of the ongoing CVOW project, currently on time and on budget, is a positive indicator. However, the lack of clear timelines and cost estimates for the new projects introduces some financial uncertainty. The company's ability to balance these long-term investments with short-term financial performance will be important for maintaining investor confidence and supporting the stock price.
Dominion Energy's expansion in offshore wind aligns with the growing trend of utilities transitioning to cleaner energy sources. This move supports the goals of the Virginia Clean Economy Act and positions the company favorably in the context of increasing environmental regulations. The potential to generate up to 4.0 gigawatts of clean energy from the new lease area could significantly reduce the company's carbon footprint.
However, offshore wind projects often face environmental scrutiny and regulatory challenges. The company's ability to navigate these issues successfully will be crucial. Investors should monitor the environmental impact assessments and community engagement processes for these projects, as they can significantly influence project timelines and costs. Overall, this expansion strengthens Dominion's position in the clean energy transition, potentially enhancing its long-term sustainability profile.
- Dominion Energy submits winning bid of
$17.7 million Virginia Beach ; equates to$100 - Acquisition provides the option to deploy additional regulated offshore wind generation to serve unprecedented electric demand growth using all-of-the-above approach supportive of goals of Virginia Clean Economy Act
- Company's focus remains on completing the 2.6-gigawatt Coastal Virginia Offshore Wind project on time and on budget
Winning the lease provides Dominion Energy with the option to pursue additional offshore wind development in the mid-Atlantic. The Bureau of Ocean Energy Management indicates the lease area could support between 2.1 gigawatts and 4.0 gigawatts of offshore wind energy generation. The lease area is located approximately 35 nautical miles from the mouth of the Chesapeake Bay.
In early July, the company announced the acquisition from Avangrid of the 40,000-acre Kitty Hawk Wind North offshore wind lease area, to be renamed CVOW South. If approved by regulators and constructed, CVOW South would have a capacity of 800 MW, enough capacity to serve 200,000 homes. At this time, the company does not have an estimated timeline or cost for development of either CVOW South or the new leasehold.
"Offshore wind is critical to our all-of-the-above approach to meet the unprecedented growth of our customer electric demand over the next decade," said Robert M. Blue, chair, president and chief executive officer of Dominion Energy. "Winning this lease area gives us another low-cost option to meet that growing demand while providing our customers with reliable, affordable and increasing clean energy."
CVOW continues to be on-time and on-budget with in-service expected by the end of 2026. To date, 54 monopiles have been installed since the installation campaign began on May 22, 2024, consistent with the company's target of 70-100 monopiles during the first of two installation seasons that run from May through the end of October.
About Dominion Energy
More than 4.5 million customers in 13 states energize their homes and businesses with electricity or natural gas from Dominion Energy (NYSE: D), headquartered in
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SOURCE Dominion Energy
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