Offshore wind turbine installation shipowner Eneti Inc. (NYSE: NETI) has announced plan to form a joint venture company with offshore drilling company Transocean (NYSE:RIG) for the installation of offshore wind foundations through the conversion of two rigs.
The two companies have signed a non-binding memorandum of understanding to establish the joint venture.
Transocean, with over “300 rig-years” of experience operating a global fleet of dynamically positioned offshore drilling rigs, will contribute its expertise and operational personnel to the joint venture. Eneti, through its wholly-owned subsidiary Seajacks International, will provide its experience in installing more than 500 wind turbine foundation components at wind farms across the world, including Japan, Germany, and Scotland.
The joint venture, which is subject to definitive agreements, will provide for the conversion of up to two “fit for purpose” Transocean vessels into floating offshore wind foundation installation platforms. Upgrades will include the installation of a 5200-ton crane that will enable the vessels to safely and efficiently transport and install monopile foundations of up to six 3,500-tons and 12-meters in diameter. Eneti and Transocean will also have the right but not the obligation to invest in the joint venture with additional partners.
Eneti, which debuted in early 2021 as a pure-play offshore wind turbine installation vessel shipowner after transitioning away from the dry bulk shipping sector under the retired name “Scorpio Bulkers”, currently operates a market-leading fleet of five WTIVs plus two under construction through its wholly-owned subsidiary Seajacks UK Limited, which it acquired in 2021.
Transocean owns or has partial ownership interests in and operates a fleet of 37 offshore drilling rigs, consisting of 27 ultra-deepwater floaters and 10 harsh environment floaters.
The joint venture between Eneti and Transocean is expected to accelerate the deployment of offshore wind projects globally and reduce their costs.
The announcement from the two companies said the JV is still subject to negotiation and execution of definitive agreements.
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