GCube, a global underwriter for renewable energy initiatives, has signed a contract with U.S. power company, Xcel Energy, for a 200-MW wind project in North Dakota.
Xcel Energy currently has 5,794 MW of wind power on its systems. The development in Courtenay, North Dakota forms part of plans to expand its wind portfolio by about 40%, adding a further 1.9 GW of wind throughout their service territory over the next few years.
The Courtenay project was originally developed by Minnesota based Geronimo Energy before Xcel Energy purchased the development in 2015. The project is the fourth onshore wind farm signed as part of a 2013 deal by Xcel Energy. Two other wind projects are already under construction in the Midwest.
Under the terms of the agreement, GCube will provide insurance for all construction risks. Critical to the partnership was GCube’s ability to demonstrate that there can be a more competitive offering for utilities for their renewable portfolios outside of their main energy insurance providers.
“We were able to demonstrate to Xcel Energy that we could protect their assets more competitively through our specialist renewable offering, and look forward to working with the business throughout the construction phase of this important project,” explained Jeff Richards, Senior VP, GCube Insurance.
He added: “Onshore wind remains an attractive prospect throughout the United States for utilities looking to diversify portfolios and bring online additional renewable energy capacity to meet state requirements. Our role is to protect that investment by supporting project developers as they negotiate the combination of technical and logistical risks involved in building a pipeline of sites.”
Filed Under: Insurance, News, Projects