wind

BOEM advances new lease in Gulf of Mexico

The US Government has advanced a new project in the Gulf of Mexico, while delaying an auction that was set to occur just one year after the region’s first lease sale in 2023.
BOEM advances new lease in Gulf of Mexico
Courtesy of NREL.

The Bureau of Ocean Energy Management (BOEM) announced it was advancing an unsolicited lease request from US renewable energy developer Hecate Energy to develop two areas off the Texas coast; BOEM also announced it would not proceed with a planned auction after conducting the region’s first in 2023, resulting in developer RWE securing an area off the Louisiana border.

The Gulf of Mexico offshore wind market is moving forward with key policies falling into place. The state of Louisiana has begun its state Offshore Wind Roadmap process that will identify key actions the state can take to support development. Both the Oceantic Network and the Pew Charitable Trusts released reports detailing the regional supply chain capabilities and businesses already at work in the region. And just this week, the Department of Energy released the first steps of a wider transmission study effort for the region. 

The Gulf of Mexico is already heavily involved in offshore wind’s buildout. The Network closely tracks supply chain contracts and has found 23 percent of the 1,500 US contracts are going to Gulf-based firms. Nearly $1.3 billion in vessel orders and retrofits is flowing to Gulf shipyards from Texas to Florida.

“The Gulf of Mexico is the US offshore wind industry’s supply chain engine, providing the workforce, offshore expertise, vessels, and fabrication yards that are building out our first East Coast projects, and is poised to become a major regional market of its own” said Sam Salustro, vice president of strategic communications at Oceantic Network. “Today’s decision moves offshore wind energy forward in a deliberate and sustainable manner for the region by creating pathways for key pioneering projects. This development enables critical support structures to advance, ensuring the development of a robust market that leverages the Gulf’s unique infrastructure and capabilities. Offshore wind's momentum continues, with unrelenting state demand pushing the industry forward and every new job created building confidence and support in communities across the nation.”

For additional information:

Bureau of Ocean Energy Management (BOEM)

Oceantic Network

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