January 26 (Renewables Now) - The Ocean Winds joint venture (JV), shared 50/50 by EDP Renewables SA (ELI:EDPR) and Engie SA (EPA:ENGI), and its Norwegian partner Aker Offshore Wind AS have secured exclusive rights to develop 870 MW of floating wind power capacity off the coast of Ulsan, South Korea.
The companies’ Korea Floating Wind (KF Wind) JV had obtained the so-called Electric Business License (EBL) from the South Korean ministry of trade, industry and energy, which grants it exclusive development rights to realise the project, the partners said.
The EBL is a mandatory requirement to generate and supply electricity in South Korea, the press release reads.
KF Wind is owned 66.7% by Ocean Winds and 33.3% by Aker Offshore Wind. The JV has identified three sites off Ulsan’s shore that can accommodate some 1,200 MW of floating wind power capacity. The floating wind business now expects to secure its second EBL for a capacity of 450 MW, its partners said.
They intend to work on maturing the project with the goal of reaching financial close in 2024.
"The EBL is a major milestone in the development of the project and the result of the great work by the KF Wind team. Securing the EBL will allow KF Wind to continue with its investment plan and to create local jobs in South Korea," Guzman Figar, project director of KF Wind, said in a statement.
"We will continue our cooperative work with all stakeholders, including local fishermen and organizations, to make this project a reality," added Figar.
Spain-based EDPR first joined KF Wind alongside Aker Solutions ASA back in 2019, when they acquired a stake from its founders -- Seoul-based WindPower Korea (WPK) and US floating wind specialist Principle Power Inc. Principle Power then exited the company.
Later, EDPR went on to form Ocean Winds with French utility Engie.