Ørsted follows through with $5.2M land deal in Sussex

HARBESON – Despite withdrawing plans for its Skipjack projects off of the coast of Delaware last year, Ørsted recently purchased a 64-acre property near Harbeson for $5.2 million.

The purchase, made under the business name Skipjack Offshore Energy, LLC., is the result of an agreement struck by the Danish wind turbine developer several years ago as conversations were swirling about the development of a wind farm in the area.

Ørsted Spokesperson Maddy Cronin confirmed the purchase and told the Delaware Business Times in an email, “This transaction is tied to an agreement struck in October 2023, prior to Ørsted’s decision to reposition the project. Pursuant to that October 2023 agreement, the transaction was finalized this month. Any future plans for the property would be subject to federal and local permits.”

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The site, which currently includes open fields at the intersection of Walker and Diamond Farm roads, was originally pegged to help support a Maryland Wind Farm which could generate about 966 megawatts of energy to the area, enough to power around 300,000 homes. That energy, however, would not reach Delaware customers as it would have headed straight for Maryland.

But, the momentum didn’t last and the company reported in its 2023 annual report that it withdrew its Offshore Renewable Energy Certificate as it could “no longer can ensure an investable project.”

Ørsted isn’t the only wind farm company that has had a tough time succeeding in applications and progress in Delaware’s most southern county.

US Wind was recently denied the opportunity to continue on with its plans for a wind farm that would bring more than 100 wind turbines to the coast of Delaware. The 140-acre property near the Indian River Power Plan in Dagsboro was purchased under the name Renewable Redevelopment LLC.

Despite a denial of the local conditional use permit by the Sussex County Council, US Wind went on to receive federal and state approvals and soon after, even signed an agreement with the state of Delaware which would allocate 150,000 renewable energy credits each year to Delaware utilities, along with other financial benefits over the lifespan of the project.

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The Baltimore-based company has since appealed the decision made by the council.

As Delaware waits for more news about potential wind farms along its coastline, Sussex County Communications Director Chip Guy told DBT in an email that nothing has been filed at this time with the county’s planning and zoning department.

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