Mainstream is one of the leading developers of offshore wind in Europe. Our Offshore Centre of Excellence is based in our London office where our experienced team are advancing all development work including environmental, stakeholder, technical and finance disciplines with a strong emphasis on health and safety.
Mainstream’s offshore business model involves identifying an area of sea, obtaining a licence to develop it and get the full planning permissions to build a wind farm there. In parallel with this, we negotiate all the major construction and services contracts in order to take the project to a stage where it is fully designed, fully engineered and all the key components are secured. This includes things such as securing wind turbines, cables, high voltage DC interconnections and vessels needed for installation. Over the next decade there will be a shortage of things such as vessels and cables as demand outstrips supply.
So all the big ticket items will be secured and we will have a fully consented, fully planned and permitted site offshore with all the building blocks fully engineered, fully designed and a fully procured supply chain. At this stage we sell the project so that the owner is ready immediately to reach financial close and build the project. As an example, DONG Energy signed a deal with Mainstream to acquire a 33.3% share of the projects with an option to acquire the remaining 66.7%.
Mainstream has an offshore pipeline in excess of 7.6GW. Our first offshore wind project, Neart na Gaoithe, awarded by The Crown Estate in 2009 has concluded a number of development milestones and in February this year announced Siemens Wind as the preferred supplier of wind turbines and has appointed Marubeni and Technip Offshore Wind Limited (working in consortium) as the preferred supplier of balance of plant EPCI services. SMart Wind, the joint venture between Mainstream and Siemens Financial Services developing the 6GW Hornsea zone has submitted its first project to the inspectorate and our Horizont project in the German North Sea is expected to receive consent in 2014.