CIP to Invest $350 million in South Korea’s Offshore Wind Sector
The global renewable energy investment firm Copenhagen Infrastructure Partners (CIP) has committed $350 million in developing offshore wind projects in South Korea. Last week, CIP Managing Partner Jacob Baruel Poulsen formalized the agreement in presence of the Republic of Korea’s President Yoon Suk-Yeol.
The funds will support the development and construction of gigawatt-scale offshore wind projects in Korea. CIP initially entered the Korea energy market in 2018, developing both fixed bottom and floating offshore wind projects.
The projects are located in Jeonnam Province and the Ulsan region. Copenhagen Offshore Partners (COP), the offshore wind development partner to CIP, is the lead developer of these sites.
South Korea is prioritizing offshore wind as a key strategy for achieving its carbon neutrality pledge by 2050. The country has an existing 0.1 GW offshore wind capacity installed currently against the 14.3 GW target by 2030.
“This investment will go to development of our offshore wind portfolio in Korea including the advanced 99 MW Jeonnam 1 project. It will also help in materializing our GW-scale project and we hope to create momentum in the Korean offshore wind market,” said David Taesung Yoo, Co-CEO of COP Korea.
In addition, CIP also revealed that its Energy Transition Fund - the largest dedicated clean hydrogen fund globally - is exploring opportunities for cooperation and development of its Power-to-X business in Korea. The ultimate goal is to expand CIP’s energy island concept to the country.
This year has seen South Korea make significant strides in development of its offshore wind sector. In March, the Korean Electric Power Corporation (KEPCO) announced it was working with DNV to develop the country’s long-term plan for a power grid connected to the massive proposed offshore wind farms. The project aims to expand KEPCO’s grid network along the western coast of South Korea, helping to deliver offshore wind power from the farm sites to key demand centers in Seoul.
Meanwhile, South Korea recently launched its first offshore wind installation vessel for its own domestic industry. Built by Hyundai Engineering and Steel Industries, the new WTIV Hyundai Frontier is already at work at the Jeju Hallim offshore wind farm.