Nucor Corporation announced that it has signed a 10-year virtual power purchase agreement for 100 MW of energy from Ørsted’s Western Trail wind farm (WTW) in North Texas. Ørsted’s WTW project is already under construction and is expected to be operational later this year. The project uses Nucor steel and steel products and is designed to continue generating power even during particularly severe weather which is common in the area.
The total capacity of the wind farm is 367 MW and it consists of 130 turbines. The project is set to provide long-term financial returns in the form of increased property tax to the Wilbarger County community and three independent school districts.
This announcement marks Nucor’s second power purchase agreement. In 2020, the company announced the signing of a 15-year power purchase agreement for 250 MW of solar energy in Texas. The project is expected to begin operations in mid-2023. Further, the agreement represents the largest of its kind for the steel industry. With the development of the WTW project, there is potential to supply renewable power to the regional electric grid 24 hours a day.
In December 2020, Ørsted closed a deal to sell 25 per cent in one of the largest offshore wind projects in the US, the 1.1 GW Ocean Wind project, to New Jersey’s Public Service Enterprise Group for an undisclosed amount.
