Scottish enterprise agencies and HD Hyundai Heavy Industries have signed a memorandum of understanding (MoU) to unlock expertise in the design and manufacture of floating offshore wind substructures.
Scottish Enterprise (SE) and Highlands & Islands Enterprise (HIE) have signed the MoU with the company in Edinburgh, committing each other to pursue opportunities for floating offshore wind projects Scotland.
It is the Korean outfit’s first agreement in Europe on floating offshore wind manufacturing, according to the Scottish government.
HD Hyundai Heavy Industries is the world’s largest shipbuilding company and a major manufacturer of equipment such as the floating substructures that form a critical part of the multi-billion offshore wind supply chain.
Up to £24.5m of funding has been committed to this project by the Scottish government, SE and HIE.
Deputy First Minister Shona Robison, who witnessed the MoU signing, said: "This partnership agreement is a vote of confidence in Scotland and our offshore wind industry – demonstrating our ability to develop the international relationships upon which investment that will help us reach our climate targets is founded.
"Scotland’s offshore wind sector is key to our transition to net zero and this partnership is the next step forward in realising the economic opportunities from our floating offshore wind potential.
"Scottish Enterprise and Highlands & Islands Enterprise are playing a vital role in supporting a fair and just transition for the energy sector.
"Collaborations between our economic development agencies and global leaders with world-class expertise, such as HD Hyundai Heavy Industries, are key to delivering that ambition.
"This collaboration will play a key role in helping Scotland meet its climate targets."
Senior vice president of corporate planning division and wind energy business at HD Hyundai Heavy Industries, Hannae Choi, added: "We are currently exploring ways to collaborate with various partners to develop the offshore wind market, including establishing a manufacturing supply infrastructure.
"We plan to expand the market by leveraging our world-class know-how in designing and manufacturing floating structures."
Emma Harrick, head of energy transition and supply chain at Scottish Renewables, said: "Scotland has a proud reputation as a global leader in the renewable energy industry and this agreement is yet another example of the intense global interest in Scotland as a renewable energy powerhouse.
"With the world’s largest floating offshore wind pipeline it is no surprise that a globally renowned business, like HD Hyundai Heavy Industries, wants to invest in our industry and establish a manufacturing base to supply foundations for wind turbines that will be deployed not just in Scotland but across the world.
"However, while we welcome potential inward investment there are a number of key issues that must be addressed, not least those of timely consenting, grid connections and growing a local supply chain, if Scotland is to make the most of its offshore wind potential."
