Project Financing and Milestone Achievement

Equinor has successfully secured over $3 billion in project financing for the Empire Wind 1 offshore wind farm, located off the coast of New York. Achieving its financial close in December 2024, this $3 billion marks a significant step in the company’s ongoing efforts to advance renewable energy initiatives in the region. The financing is expected to propel the 810MW project towards its expected completion in 2027, with the capacity to generate clean energy for approximately 500,000 households in New York City.

Location and Expected Energy Impact

Empire Wind 1, positioned 24-48 km southeast of Long Island, spans a large area of 80,000 acres. Upon its completion, this wind farm will become the first offshore wind installation connected to the New York City grid. The project will play a critical role in New York’s renewable energy strategy, helping the state move closer to meeting its climate and energy goals.

Economic Investment and Job Creation

Total investments for Empire Wind 1 are expected to reach $5 billion, factoring in redevelopment costs for the South Brooklyn Marine Terminal (SBMT). In addition to creating 1,000+ union jobs during the construction phase, the project will also support around 300 local companies engaged in various services. The economic growth generated by this project will have a long-lasting impact on the local community and contribute to New York’s green economy.

Strategic Partnerships and Restructuring

In June 2024, Equinor signed a 25-year agreement with the New York State Energy Research and Development Authority (NYSERDA) to supply electricity from the wind farm. Moreover, BP, which acquired a 50% stake in the Empire Wind project in 2020, agreed to a cash-neutral swap in April 2024, transferring full ownership of Empire Wind to Equinor while BP assumed ownership of the Beacon Wind project.

Infrastructure Development at SBMT

A key component of the project is the redevelopment of the South Brooklyn Marine Terminal (SBMT). The terminal will serve as the operations and maintenance hub for the wind farm and will house its onshore substation. This facility will be central to ensuring the operational efficiency and long-term success of the project.

Future Expansion Plans

Empire Wind 1 is only part of a larger renewable energy development for Equinor. The upcoming Empire Wind 2, expected to generate an additional 1.2GW, will further bolster New York’s energy infrastructure. Equinor is planning to farm down part of its stake in the projects to manage risk and maximize value.