As Empire Wind 1 was scheduled to commence operations in 2027 (before the suspension), the pair think that the WTIV will likely be chartered from 2026 till 2027. They foresee that cash flows from charter agreements could be lumpy in nature.
CGS International analysts have welcomed Seatrium’s “quick” resolution with Maersk Offshore Wind affiliate Phoenix II. In their flash note dated Dec 22, Lim Siew Khee and Meghana Kande reiterate their “add” call for Seatrium at an unchanged target price of $2.67.
The note was issued before the US Department of Interior halted five offshore wind farm projects, with Seatrium being a vendor for two — Empire Wind 1 and Revolution Wind. Seatrium has reassured that the substations the company is building for the two wind farms are under progressive milestone payments and revenue is being recognised. It adds that the substations are nearly-completed and are on route to the sites.
