Eneti places order with DEME for one next-generation offshore wind turbine installation vessel

Eneti Inc. (NYSE: NETI) (“Eneti” or the “Company”) announced that it entered into a binding agreement for the construction of one Wind Turbine Installation Vessel (“WTIV” or the “Vessel”). In addition, the Company announced that it is in advanced discussions with American shipbuilders for the construction of a Jones Act-Compliant WTIV.

Newbuilding Contract

The Company has entered into a binding agreement with Daewoo Shipbuilding and Marine Engineering for the construction of one WTIV. The contract price is $330 million and the Vessel will be delivered in early Q3, 2024. In addition, the Company holds an option to construct an additional Vessel at the same price, net of currency adjustments.

The Vessel is an NG-16000X design by GustoMSC (a subsidiary of National Oilwell Varco – NYSE:NOV), and includes a 2,600 Ton Leg Encircling Crane from Huisman Equipment B.V. of the Netherlands. The Vessel is capable of installing up to 20 Megawatt turbines at depths of up to 65 meters of water, and it can be adapted to operate on the alternate fuels of LNG or Ammonia.

Jones Act Initiative

Separately, the Company announced it is in advanced discussions with several American shipbuilders for the construction of a Wind Turbine Installation Vessel. This vessel would be constructed, financed, and operated by American citizens in compliance with the Jones Act, in order to address the heightened demand for transportation and installation capacity on the Continental Shelf of the United States.

Emanuele A Lauro, Chairman and Chief Executive Officer, commented “Since last August, we have been unequivocal about our intention to enter the Wind Turbine Installation sector. This contract with Daewoo is a milestone for the Company, as it reflects months of customer engagement and collaboration with partners, both old and new. This Vessel will have the advanced lifting capabilities and energy efficiency that offshore wind developers require, not just today but well into the next decade.

In addition, we are laying the groundwork for a Jones-Act compliant WTIV to address the American mandate for offshore wind development. The growing calls for a safe, efficient, American-constructed and American-operated asset have been clear and loud. We are intent on providing a state-of-the-art solution to our customers so that they can comply with the Jones Act as they bring renewable energy to the U.S. consumer.”

Conference Call

A conference call to discuss the Company’s newbuild contract will be held at 1:00 PM Eastern Daylight Time / 7:00 PM Central European Summer Time on May 13, 2021.

Those wishing to listen to the call should dial 1 (866) 219-5268 (U.S.) or 1 (703) 736-7424 (International) at least 10 minutes prior to the start of the call to ensure connection. The conference participant passcode is 3164396.

The information provided on the teleconference is only accurate at the time of the conference call, and the Company will take no responsibility for providing updated information.

There will also be a simultaneous live webcast over the internet, through the Eneti Inc. website www.eneti-inc.com. Participants to the live webcast should register on the website approximately 10 minutes prior to the start of the webcast.

About Eneti Inc.

Eneti Inc. (previously Scorpio Bulkers Inc.) announced on August 3, 2020, its intention to transition away from the business of dry bulk commodity transportation and towards marine-based renewable energy including investing in the next generation of wind turbine installation vessels. The Company intends to sell or have commitments to sell its remaining wholly-owned or finance leased dry bulk vessels during the first quarter of 2021.