Aker Solutions has been awarded a limited notice to proceed contract from Vattenfall for the Norfolk Vanguard West offshore wind farm in the UK. The contract has a balanced risk-reward profile based on principles for long-term collaboration.
The scope of work for Aker Solutions includes the engineering, procurement, construction, and installation (EPCI) of the high voltage direct current (HVDC) offshore substation.
The fabrication of the topside will be executed in a joint venture with Drydocks World Dubai, and the substructure will be fabricated at Aker Solutions’ yard in Verdal, Norway.
Located more than 47 kilometres from the Norfolk coast and with an installed capacity of 1.4 GW, Norfolk Vanguard West will be the first phase of Vattenfall’s Norfolk Offshore Wind Zone, which also includes the Norfolk Vanguard East and Norfolk Boreas developments.
The Norfolk Vanguard West offshore wind farm is subject to regulatory approvals and Vattenfall’s final investment decision.
According to Aker Solutions, the company will at this stage book a contract value of about NOK 4 billion (about EUR 334 million) in the fourth quarter of 2023 in the Renewables and Field Development segment, reflecting the compensated work that is to be performed until the expected final investment decision.
Following the award, the total contract value for Aker Solutions is estimated to be about NOK 6 billion.
“The development of the entire Norfolk Offshore Wind Zone could ultimately require up to three HVDC platforms in succession, which would improve the long-term predictability and give positive repeat effects and standardization within the supplier industry,” said Sturla Magnus, Executive Vice President of New Build at Aker Solutions.
The Norfolk Vanguard offshore wind farm was awarded a Development Consent Order (DCO) in February 2022.
Once completed, the project will provide the equivalent electricity needs of 1.95 million UK homes per year, according to Vattenfall.
The company secured a Contract for Difference in July 2022 for the 1.4 GW Norfolk Boreas. A year later, Vattenfall stopped the development of the project and said that the decision was made due to ”challenging market conditions”, adding that ”financial frameworks have not adapted to reflect the current market conditions” so far.
Vattenfall has already selected Tier 1 contractors for the Norfolk Zone, including Siemens Gamesa for the delivery of the wind turbines, Havfram for the installation of the turbines, Siemens Energy and Aker Solutions for the grid infrastructure, DEME and LS Cable & Systems for the delivery and installation of the export cables, and Hellenic Cables for the inter-array cables.
Sourced by: offshoreWIND.biz
