Norwegian giant Statoil ASA (STO - Free Report) announced the installation of the last of the 67 wind turbines in the Dudgeon field.
Update on Wind Turbines in Dudgeon
Currently, all the wind turbines are generating electricity. The wind farm is expected to supply power to 410,000 homes by October in England. The farm, located 32 kilometers off the coast of Norfolk in England, has shown progressive growth since the first turbine was set up at the beginning of 2017.
Per the investment decision, which was made in 2014, the budget for the wind farm was set at GBP 1.5 billion. The wind farm was completed as per plan and below the fixed budget.
The first households started receiving electricity from the beginning of February and since then all the turbines started production individually.
Statoil is projected to provide electricity to one million households in Britain once the Dudgeon project is fully functional by the end of this year.
Statoil will operate its offshore wind farm from its office in Great Yarmouth.
Each turbine involves several lifts. The three tower parts were assembled onshore were raised on board the Sea Challenger, which fixed the whole turbine in the field. Apart from the tower assembly on land, a total of 335 heavy lifts were required offshore and just as many by the quay.
About Dudgeon Project
The Dudgeon field has 67 turbines each with a capacity of 6 megawatt (MW) that can supply electricity to 410,000 UK homes. Situated 40 kilometers off the coast of Norfolk in England, the Dudgeon Bank will generate employment for about 70 personnel for the coming 25 years.
Statoil, the operator of the field owns 35% interest. Other partners include Statkraft and Masdar with a stake of 30% and 35%, respectively.
The company has operations in all major hydrocarbon-producing regions of the world, with an emphasis on the NCS. We believe that the company is well positioned to sustain steady production growth in the coming few years on the back of its large resource base at NCS. The continuous endeavor of the company to increase shelf life is also reflected in its price chart. Shares of Statoil have gained 8%, as against the industry’s increase of 1.1% over the last three months. The company’s high leverage is a cause of concern.
Zacks Rank & Key Picks
Currently, Statoil carries a Zacks Rank #3 (Hold). A few better-ranked players in the energy sector include TransCanada Corporation (TRP - Free Report) , Transmontaigne Partners LP (TLP - Free Report) and Range Resources Corporation (RRC - Free Report) . All these stocks sport a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Headquartered in Calgary, Canada, TransCanada is a midstream energy firm in North America. The company delivered an average positive earnings surprise of 4.06% over the last four quarters.
Transmontaigne, headquartered in Denver, CO, involves in transporting and storing refined petroleum products. The firm delivered an average positive earnings surprise of 6.60% over the last four quarters.
Based in Fort Worth, TX, Range Resources is an independent oil and gas company, engaged in the exploration, development and acquisition of U.S. oil and gas resources. The company’s 2017 earnings are estimated to grow 1587.17%.
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