The Bureau of Ocean Energy Management Issues Determination of Competitive Interest in the Gulf of Mexico
For Immediate Release: December 12, 2024
Contact: Jenny Netherton, jennyn@sewind.org, (318) 470-1144
New Orleans, LA. - Today, the Bureau of Ocean Energy Management (“BOEM”) announced it is issuing a Determination of Competitive Interest for two Wind Energy Areas (“WEAs”) in the Gulf of Mexico to be published in the Federal Register on December 13, 2024. BOEM also announced that an offshore wind auction will be held in the Gulf of Mexico in 2026.
In August 2023, developer RWE acquired the first offshore wind lease in the Gulf of Mexico off the coast of Lake Charles, Louisiana. This July, BOEM issued a Request for Competitive Interest (“RFCI”) after receiving an unsolicited lease request from Hecate Energy Gulf Wind LLC (“Hecate Energy”) for two areas off the coast of southeast Texas. Invenergy GOM Offshore Wind LLC (“Invenergy”) responded to the RFCI in October with a proposal of its own for the two WEAs. This Determination of Competitive Interest finds that both entities are legally, technically, and financially qualified to hold a renewable energy lease in the Gulf of Mexico, triggering BOEM to advance the competitive lease process in 2026. BOEM will analyze comments received in response to the RFCI and determine the auction process for the two WEAs, in addition to other potential WEA options.
The Southeastern Wind Coalition applauds BOEM for continuing to advance offshore wind energy in the Gulf of Mexico. As this Determination of Competitive Interest illustrates, the Gulf of Mexico is an attractive location for offshore wind development and has a robust supply chain for developers to leverage. BOEM’s ability to efficiently respond to market demands will continue to be critical as the offshore wind industry advances in the United States.
Senior Program Manager Jenny Netherton said “This announcement demonstrates that industry understands the vast economic potential of offshore wind in the Gulf of Mexico. Offshore wind makes sense in the Gulf of Mexico for the same reasons oil and gas does: our expertise in engineering, our highly skilled workforce, and our ability to grow new energy industries.”
According to the Louisiana Offshore Wind Supply Chain Study, more than 100 existing fabrication and manufacturing assets in Louisiana could support offshore wind development. Netherton continued, “Louisiana companies were integral to installing the first offshore wind turbines in the United States at Block Island and this announcement gives us the opportunity to further advance the industry in our own backyard.”
The Southeastern Wind Coalition will continue to work closely with state and federal partners as the competitive lease process advances.
About SEWC
The Southeastern Wind Coalition is a 501(c)(3) that works to advance the land-based and offshore wind industry in the Southeast. We focus on supply chain growth, economic development, job growth, and wind energy development in the region with solutions that are beneficial to industry, utilities, and result in net economic benefits to citizens and ratepayers. For more information about the Southeastern Wind Coalition visit https://www.sewind.org/
