Avangrid Sells Kitty Hawk North Offshore Wind Lease to Dominion Energy for $160M
Slice of Energy Team
Jul 11, 2024
Key Highlights:
- Sale Price: Approximately $160 million for Kitty Hawk North offshore wind lease.
- Lease Area: Nearly 40,000 acres sold at about $3,000 per acre.
- Strategic Capital Infusion: Enables further development of Kitty Hawk South.
- Vineyard Wind 1: Nation’s first large-scale offshore wind project under construction.
- Renewable Energy Portfolio: 8.8 GW across 25 states, powering 2.8 million homes.
Source (Business Wire)
Quotes
“ “As Avangrid continues the construction of our nation-leading Vineyard Wind 1 project and the development of our diverse portfolio of offshore and onshore renewable projects, this transaction advances our strategic priorities by providing significant capital infusion for reinvestment.” ”
Pedro Azagra, CEO at Avangrid
Our Take:
Avangrid’s decision to sell the Kitty Hawk North offshore wind lease to Dominion Energy for $160 million marks a strategic move to bolster its capital for reinvestment in other renewable projects. This sale not only reflects Avangrid’s ongoing commitment to advancing the clean energy transition in the U.S. but also strengthens its focus on developing the promising Kitty Hawk South lease area. With the nation's first large-scale offshore wind project, Vineyard Wind 1, making significant progress, Avangrid is positioning itself as a key player in the renewable energy sector. The company's extensive portfolio and continued investments in wind and solar facilities underscore its dedication to sustainable energy solutions and its leadership in the industry.
