German energy group RWE AG (ETR:RWE), which develops renewables assets in the US, and US utility Entergy Corp (NYSE:ETR) will partner to study a route to market for offshore wind in the Gulf of Mexico, according to an announcement on Thursday.
The companies have signed a memorandum of understanding to explore the provision of offshore wind power to industrial customers in Texas and Louisiana. Their joint assessments will cover market demand for carbon-free energy for customers of Entergy Louisiana, Entergy New Orleans and Entergy Texas; resource economics; transmission analysis; job creation impact; and skills development.
The partnership comes as the US recently announced a proposed offshore wind lease sale for three proposed areas in the Gulf of Mexico. RWE last year secured sites in two offshore wind lease auctions in the US, in the New York Bight and California.
“The existing Gulf of Mexico oil and gas supply chain, workforce, and port infrastructure represent unique advantages to a potential offshore wind hub,” commented Sam Eaton, chif executive of RWE offshore holdings LLC.
“Our customers continue to share with us that they are seeking clean energy solutions to help them reach their own sustainability goals,” said Entergy Louisiana president and chief executive Phillip May, who sees the partnership as an early step to bringing wind power to Louisiana shores.
Louisiana has a goal of 5 GW of offshore wind power by 2035.
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