SK oceanplant and Corio Generation Join Hands to Promote Global Wind Power business ··· The two companies sign an MOU for 6 projects in the U.K., Australia, Taiwan and Busan with a combined capacity of 6.8 GW
- SK oceanplant’s ability to manufacture offshore wind power substructures has gained recognition in the global market
- Through its partnership with Corio Generation, a specialist in offshore wind power, the company is expanding its global reach
- Corio Generation is expected to expand its business in Korea and other countries by executing offshore wind power projects such as the Chungsapo project in Busan
SK oceanplant, the offshore wind power business arm of SK ecoplant, and Corio Generation (Corio), which is a Green Investment Group (GIG)’s global offshore wind power arm, pledged cooperation and support in offshore wind power business in and outside of Korea.
The two companies announced that an “MOU for cooperation in offshore wind power business” was signed on March 16 at a ceremony in Corio’s Seoul office attended by officials from both companies including Woojin Choi, Head of Korea at Corio Generation, and Seung-Chul Lee, CEO of SK oceanplant.
Corio is a portfolio company of GIG, one of the leading developers and investors in green energy, specializing in offshore wind power. The company was founded in April 2022 and has been operated independently. It is also developing offshore wind farm projects totaling more than 20 GW.
The MOU will enable both companies to collaborate in offshore wind farm projects in and outside of Korea such as the U.K., Australia, Taiwan and Busan with a total capacity of 6.8 GW.
The MOU marks an important milestone for SK oceanplant, which will now have the opportunity to partner with Corio, a top-notch offshore wind power specialist, and expand its offshore wind power business to the global market. Partnering with SK oceanplant which owns exclusive engineering excellence in manufacturing and supplying substructures of offshore wind power and offshore substations, Corio plans to accelerate its business in Korea and other countries including its offshore wind farm projects in Chungsapo and Dadaepo in Busan, a bottom-fixed offshore wind project.
Under the MOU, SK oceanplant will manufacture and supply substructures and offshore substations while Corio will be in charge of developing offshore wind business, investing, and managing.
“SK oceanplant is transforming as a global offshore wind power operator as demonstrated by its acquisition of 51% of stake in an offshore wind farm project in Taiwan as well as its entry into the Japanese offshore wind market. This partnership is expected to bring synergy to one of the fastest-growing markets in the world, the global offshore wind market,” said Seung-Chul Lee, CEO of SK oceanplant. He added, “We are committed to working towards becoming a top-tier offshore specialist in the world by expanding our presence and making investments.”
Woojin Choi, Head of Korea at Corio Generation, said, “Offshore wind power business is poised to provide enormous business opportunities for Korean companies that are the most competitive in the global shipbuilding, offshore plants, steel, and heavy industries.” He continued, “Corio is committed to cooperate with not only SK oceanplant but many other Korean companies so that they can play more important roles in the global offshore wind power market.”
According to McKinsey Global Energy Perspective Proprietary Model 2022, under the scenario of carbon neutrality by 2050, the global installed capacity of offshore wind power is expected to be approximately 1,000 GW, making the industry a 5,000 trillion won market (assuming a project with a capacity of 1 GW will cost 5 trillion won).
SK oceanplant plans to build a new plant for offshore wind power substructures in Gosung, Gyeongsangbuk-do (southern province of Korea). The new plant will be as large as 1.57 million ㎡, offering an annual capacity of roughly 650,000 tons and directly supplying Korean manufacturers with main equipment needed for offshore wind power generation, such as fixed substructures and floating structures.
As a subsidiary of SK ecoplant, SK oceanplant is the key pillar of its mother company’s green hydrogen value chain based on offshore wind power. The company which became a subsidiary of SK ecoplant in September, 2022 is well known for a manufacturer that localized thick-walled steel pipes in 2000 that Korea had to completely rely on import previously. Leveraging the manufacturing methods that it has developed to produce the thick-walled steel pipes, the company is showing excellent performance in substructures of offshore wind power made by welding thick steel pipes. As a supplier for global offshore wind power companies such as Orsted, CIP/COP and Jan De Nul, SK oceanplant has won large global orders and its cumulative export exceeded 300 million dollars as of the end of 2022. Currently, the company has key infrastructure including a yard of 930,000 m² and a wharf for large barge loading and unloading for export as well as is building one of the world’s largest plants for substructures of offshore wind power that will be about 1.57 million m².