Subsea 7 wins new wind farm project
PRESS RELEASE – Subsea 7 today announced the award of a sizeable contract by Innogy Kaskasi for the Kaskasi offshore wind farm project, located approximately 35 kilometres north-west of Heligoland in the German sector of the North Sea.
The contracted work scope includes the transport and installation of the offshore substation foundation, 38 wind turbine monopile foundations and 52 kilometres of inner array grid cables in water depths of between 18 and 25 metres.
Offshore installation is scheduled for execution in 2021 and 2022 using Seaway 7’s heavy lift, cable lay and support vessels. When completed, the Kaskasi offshore wind farm will have an installed capacity of 342 megawatts.
Steph McNeill, EVP Renewables, said: “We are pleased to continue our partnership with Innogy on the Kaskasi II project, after having collaborated on other projects such as Nordsee One and Triton Knoll. It will benefit from being managed as an integrated foundation and cable installation project leveraging the available capabilities within Seaway 7, and will use an innovative vibratory hammer installation approach to minimize the noise levels during the offshore installation of the monopiles.”
Subsea 7 defines a sizeable contract as being between USD 50 million and USD 150 million.
New awards under pressure
Subsea 7 last week announced it is withdrawing its guidance and outlook statements for 2020, which the company issued in February.
“While the current year’s results are underpinned by a backlog at year-end 2019 of $5.2 billion, including $3.3 billion for execution in 2020, the dual impacts of the coronavirus and sharply lower commodity prices represent a significant headwind to the pace of the new awards required to meet prior guidance”, the company states.
The company says it has significant liquidity available to weather the corona challenges, with $398 million cash and equivalents, as well as undrawn banking facilities of $656 million. Subsea 7 will present its first-quarter results on April 30th.