September 19, 2023

Eneti secures 2027 contract for new wind turbine installation vessel

Offshore wind installation company Eneti Inc (NYSE:NETI) on Monday said one of its two newbuild wind turbine installation vessels has been contracted by an undisclosed customer to transport and install turbines, with mobilisation starting in the first quarter of 2027.

The vessel reservation agreement has been signed by Eneti’s wholly-owned subsidiary Seajacks UK Ltd and concerns one of the company’s two NG16000X vessels currently under construction at Hanwa Ocean in South Korea. It is expected to yield USD 87 million (EUR 81.6m) to USD 100 million of gross revenue, with project costs estimated at USD 15 million. The duration of the task, including mobilisation and demobilisation, is expected to be between 210 and 245 days.

“Through the ability to employ either of our two newbuilds, this project provides both maximum flexibility and accretive future cash flows,” Eneti chief executive Emanuele Lauro said. He further noted that the contract, with net daily revenues approaching USD 350,000, reflects improving fundamentals of offshore wind and current market conditions.

Earlier this year, Eneti announced a merger with Cadeler A/S (OSL:CADLR), which is expected to be completed in the fourth quarter of 2023.

(USD 1 = EUR 0.938)

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