La. issues its first-ever state offshore wind energy leases

(lailluminator.com) — Louisiana approved the state’s first-ever wind energy operating agreements in state offshore waters on Wednesday of last week at the State Mineral and Energy Board meeting.

Gov. John Bel Edwards and Louisiana Department of Natural Resources Secretary Tom Harris announced approval of two projects, one off the coast of Terrebonne and Lafourche parishes and another in the Cameron Parish’s coastal waters.

The Diamond Offshore Wind (DOW) site is on 6,162 acres just offshore from Terrebonne and Lafourche. The Cajun Wind development will cover 59,653 acres off the Cameron coast.

The two agreements have different payment structures to the state, Harris said in a statement from the governor’s office. Although the DOW Wind project covers a smaller area, it will pay more in upfront costs and rental fees per acre.

The larger Cajun Wind field had a lower per-acre fee for upfront and rental payments but a higher energy royalty over the length of the agreement.

“For generations, the state of Louisiana has been a leader in energy production and offshore wind energy is the next chapter in that great history as we expand our options for clean energy production and open new avenues for the development of our state economy,” Edwards said in the statement.

This article originally published in the December 18, 2023 print edition of The Louisiana Weekly newspaper.