Shell has sold its 50% equity share in SouthCoast Wind Energy, a joint venture set up to develop offshore wind projects off the coast of Massachusetts, as the supermajor continues to divest assets in line with its new strategy to high-grade its renewable projects globally.
Shell sold its stake in SouthCoast Wind to its joint venture partner Ocean Winds North America LLC for an undisclosed sum.
"In-line with our Powering Progress strategy, Shell continues to hone our portfolio of renewable generation projects in key markets where we have an advantaged position," Glenn Wright, Senior Vice President, Shell Energy Americas, said.
The offshore wind industry has been plagued in the past year by cost increases, rising interest rates, quality issues with turbines, and delays and cancelation of projects.
The pullout from wind development offshore Massachusetts is the latest in a list of Shell's departures from such projects. Last month, the supermajor said it would sell its 80% stake in the 1.25 GW MunmuBaram project in South Korea to its JV partner Hexicon, leaving the latter with a 100% stake in the project.
Shell has also reportedly put a quarter of its solar power assets in the United States up for sale.
Last week, Shell reaffirmed its ambitions to be a net-zero energy business by 2050 but eased its carbon intensity target for 2030 as it has shifted away from clean power sales to retail customers.
The eased emissions target is the result of Shell prioritizing value over volume in power, with a focus on select markets and segments and selling more power to commercial customers and less to retail customers.
Last year, Shell agreed to sell its retail home energy businesses in the UK and Germany to Octopus Energy Group, in line with its strategy to prioritize countries, projects, and routes to market where it can deliver the most value.
By Tsvetana Paraskova for Oilprice.com
Tsvetana is a writer for Oilprice.com with over a decade of experience writing for news outlets such as iNVEZZ and SeeNews. More