Ulsan City has taken a significant step towards becoming a global hub for renewable energy by signing a letter of intent (LOI) with four consortiums of prominent domestic and international developers to create the world’s largest floating offshore wind farm. The signing ceremony held in the mayor’s office on Nov. 5.

The consortiums include Norway’s Firefly (Bandibuli) Floating Wind Farm, Denmark’s Haeuli Floating Offshore Wind Power, Spain’s KF Wind, and Korea-UK-France’s Gray Whale Offshore Wind Farm. These companies, along with various energy firms and asset management entities, have committed to a total investment of 37.2 trillion won. The project aims to generate 6.2GW of power, equivalent to the output of six nuclear power plants. An Ulsan City official remarked, “Once completed, this will be the world’s largest offshore wind farm in terms of power generation capacity.”

Firefly (Bandibuli) Floating Wind Farm, led by Norway’s state-owned energy company Equinor, plans to invest 5.7 trillion won, including approximately 229 billion won in foreign direct investment (FDI), to complete a 750MW offshore wind farm about 70km off the coast of Ulsan by 2030. Haeuli Offshore Wind Power is set to invest 12 trillion won, with around 130 billion won in FDI, to establish a 1.5GW wind farm by the same year. KF Wind aims to invest 7.5 trillion won, including 48.5 billion won in FDI, to complete a 1,125MW wind farm by 2031. Gray Whale Offshore Wind Farm, involving domestic company SK Ecoplant in collaboration with UK and French companies, plans to invest 12 trillion won, including 42.5 billion won in FDI, to establish a 1.5GW wind farm by 2031.

The influx of global offshore wind energy companies to Ulsan is largely due to the consistent wind speeds exceeding 8 meters per second in the East Sea. The electricity generated at sea can be utilized in nearby industrial complexes where there is high demand for power. An Ulsan City official noted, “With many shipbuilding companies in Ulsan, floating facilities can be promptly manufactured and supplied.” Ulsan Mayor Kim Doo-kyum emphasized, “We will develop the floating offshore wind power business as a future industry for Ulsan.”

Ulsan City anticipates that this agreement will attract both domestic and international energy technology and capital, propelling the city to become a global hub for the offshore wind industry. Mayor Kim stated, “This project is expected to significantly contribute to the realization of South Korea’s energy transition policy, beyond revitalizing the local economy,” and added, “We will actively support the project to ensure its smooth progress.”

The establishment of the world’s largest floating offshore wind farm off the coast of Ulsan marks a significant milestone in the global push for renewable energy. Offshore wind farms, particularly floating ones, represent a cutting-edge technology that allows turbines to be placed in deeper waters where fixed-foundation turbines are not feasible. This project aligns with South Korea’s energy transition policy, which aims to reduce dependence on nuclear and coal power while increasing the share of renewable energy in the country’s energy mix.