POSCO Engineering & Construction announced on the 29th that it has signed a basic design (FEED) contract for the 'Ulsan Firefly Offshore Wind Power Project' with Norway's state-owned energy corporation 'Equinor.'

This contract was established according to the exclusive supply agreement (PSA) for the land-based construction of the 'Ulsan Firefly Offshore Wind Power Project' signed by the two companies last November. This is considered a foothold for the future signing of the main contract for land-based design, procurement, and construction (EPC).

On 29th, POSCO signs a basic design contract for the Ulsan Firefly offshore wind project with the Norwegian state-owned energy corporation Equinor. From the left are Embret Johnsgaard, Equinor’s purchasing director, Torgeir Nakken, Equinor’s general director, and Kim Dong-won, head of the infrastructure business division of POSCO./Courtesy of POSCO

The basic design requires a comprehensive review of the project's technical and economic feasibility, and it is an essential procedure for a smooth transition to the EPC phase, demanding high levels of expertise and experience. Through this contract, POSCO Engineering & Construction plans to conduct designs for major infrastructures, including the shore connection, underground cable tunnel, transmission cables, and land substations.

The 'Ulsan Firefly Offshore Wind Power Project' is a large-scale project to build a 750-megawatt (MW) floating offshore wind farm approximately 70 kilometers east of Ulsan Port. It is expected to be able to supply electricity to all households in Ulsan Metropolitan City, playing a pivotal role in the commercialization and technological self-reliance of the domestic offshore wind power industry.

Equinor is a global energy corporation that has successfully performed numerous offshore wind projects, including Norway's 'Hywind Tampen,' the world's largest floating offshore wind farm. As a key partner of Equinor among domestic construction companies, POSCO Engineering & Construction has further strengthened its position in the domestic floating offshore wind power market.

POSCO Engineering & Construction has also been consistently collaborating with global and domestic corporations to enhance its offshore wind power capabilities. In April 2023, it signed a technical cooperation memorandum of understanding with Norway's 'DNV (Det Norske Veritas),' the world's largest offshore wind certification body. It has established agreements with domestic shipbuilding company Namseong Shipping and offshore wind developer HA-Energy for securing transportation and installation dedicated vessels. Additionally, it has set up a cooperation system with HSG Sungdong Shipbuilding in the manufacturing, transportation, and installation fields of offshore wind foundations.

Meanwhile, POSCO Engineering & Construction is further strengthening collaboration with its group company POSCO to secure technological competitiveness and enhance cost competitiveness in the offshore wind power sector. It is focused on independently securing floater technology based on original designs using POSCO's high-performance thick plates.