Dominion Energy has completed the sale of a 50% non-controlling interest in its Coastal Virginia Offshore Wind (CVOW) commercial project to Stonepeak, an alternative investment firm.
This transaction, first announced in February 2024, has provided Dominion Energy with $2.6 billion in proceeds, approximately half of the capital investment made in the project so far. Stonepeak will also finance half of the remaining project costs, following pre-disclosed conditions.
Dominion Energy retains full operational control over the construction and operation of the 2.6 GW CVOW project, while Stonepeak acquires customary minority rights. The sale is part of Dominion Energy’s debt reduction strategy, which has successfully lowered its debt by $21 billion through the divestment of Cove Point LNG, East Ohio Gas, Questar Gas, Wexpro, and the Public Service Company of North Carolina.
The CVOW project, the largest offshore wind farm under construction in the US, is designed to generate sufficient clean energy to power 660,000 homes when fully completed by late 2026. The wind farm will consist of 176 turbines and three offshore substations, spanning a lease area of 113,000 acres off the coast of Virginia Beach.
Robert Blue, Dominion Energy’s chair, president, and CEO, expressed satisfaction with the partnership, noting that Stonepeak’s involvement will benefit both the project and the communities depending on CVOW’s electricity to support economic growth. Headquartered in Richmond, Virginia, Dominion Energy provides regulated electricity service to 3.6 million customers across Virginia, North Carolina, and South Carolina.