Swedish tidal energy developer Minesto has assigned consulting company Ernst & Young (EY) to support the development of the 10 MW Hestfjord Dragon Farm in the Faroe Islands, aimed at scaling tidal energy solutions as part of a broader plan to deploy 200 MW in tidal energy capacity.
The Hestfjord Dragon Farm marks a step for Minesto’s tidal energy technology, with a first-phase capacity of 10 MW. Minesto’s Dragon 12, previously installed at a utility-scale in Vestmanna , demonstrated the feasibility of the technology. The company has brought in EY to support the financial and industrial partnerships needed for the project.
This project is part of a larger aim for the Faroe Islands to achieve 100% renewable energy by 2030. According to Minesto, after successful pilot runs with Dragon 12 and Dragon 4 kites connected to the power grid, the company is moving forward with the first 10 MW phase of the Hestfjord Dragon Farm, marking a milestone in a potential 200 MW deployment.
To handle the growing interest from investors and other parties, Minesto has partnered with EY to focus on project financing and industrial partnerships. This collaboration has a global scope, with the initial emphasis on the Faroe Islands’ tidal energy build-out.
“Scaling-up of the technology by initiating the Hestfjord Dragon Farm build-out is a major milestone for Minesto in providing commercial-scale tidal energy. It’s of great value to have support of the EY team to help in discussions with various interested parties when it comes to financial and/or commercial partnerships,” said Martin Edlund , CEO of Minesto.
According to Minesto, site development work in Hestfjord is currently underway, with activities including resource modeling, detailed site optimization, grid connection plans, and environmental assessments. A recent upgrade to the local onshore electric distribution grid is expected to meet the power needs of the tidal farm.
The next steps in the project involve completing permit and license applications, along with forming an investment consortium to carry out the final stages of site development and installation, the Swedish tidal energy developer noted.
Minesto put together this investment offer for the first-phase buildout of an array of tidal kites in Hestfjord back in August.
Actual and simulated performance data from Dragon 4 and Dragon 12 showed that Minesto’s tidal energy technology is ready for the first Dragon Farms as well as microgrid installations , the Swedish company’s CEO said.