GCube Covers Xcel Energy for North Dakota Wind
Courtenay, North Dakota, December 8th 2015 – GCube, the leading underwriter for renewable energy initiatives, has signed a contract with US electric and natural gas business, Xcel Energy, for a 200MW wind energy project in North Dakota.
As US energy continues to move away from its traditional sources, and despite the strong market competition from natural gas, US power and utilities businesses are still looking to diversify their generating mix with cost-efficient, quick to deploy, onshore wind power.
Xcel Energy currently has 5,794MW of wind power on its systems and the development in Courtenay, North Dakota forms part of plans to expand its wind portfolio by around 40 percent, adding a further 1.9GW of wind throughout their service territory over the next few years.
The Courtenay project was originally developed by Minnesota based Geronimo Energy, before being purchased by Xcel Energy in 2015. The development will be the fourth onshore wind farm signed as part of a deal in 2013 by Xcel Energy, with two others already under construction in the Midwest.
With construction of the project due for completion before the end of 2016, the 200MW wind farm will consist of 100 Vestas V100-2.0 MW turbines.
Under the terms of the agreement, GCube will provide insurance for all construction risks. Crucial to securing the relationship was the ability of GCube to demonstrate that there can be a more competitive offering for utilities for their renewable portfolios, outside of their main energy insurance providers.
“Onshore wind remains an attractive prospect throughout the United States for utilities looking to diversify portfolios and bring online additional renewable energy capacity to meet state requirements,” said Jeff Richards, Senior Vice President, GCube Insurance. “Our role is to protect that investment by supporting project developers as they negotiate the combination of technical and logistical risks involved in building a pipeline of sites.”
“We were able to demonstrate to Xcel Energy that we could protect their assets more competitively through our specialist renewable offering, and look forward to working with the business throughout the construction phase of this important project.”
GCube is the leading provider of insurance services for renewable energy projects in wind, solar, biofuels, biomass, geothermal, wave, hydro and tidal around the globe.
Its specialised focus and robust underwriting authority offers unparalleled property and liability insurance coverage for all construction and operational risks. With over 25 year’s experience in the renewable energy sector, GCube understands the unique exposures of these power generation projects and assists its clients in identifying, quantifying and mitigating risk efficiently and economically while helping them achieve their business objectives.