OMNI Features｜Shell Concludes New Offshore Wind Investment Plans and Redirecting Efforts Toward Oil and Gas．Vietnam to Deploy Offshore Wind Power Project for Export to Singapore from 2030

｜Shell Concludes New Offshore Wind Investment Plans and Redirecting Efforts Toward Oil and Gas
Shell announced a strategic shift, ceasing new offshore wind investments and splitting its energy division into 2 units: power generation and trading. This decision reflects CEO Wael Sawan's focus on high-profit ventures, reducing spending on low-carbon projects while increasing emphasis on oil, gas, and biofuels. Shell clarified that while it won't lead new offshore wind developments, it remains open to selective equity participation under favorable commercial conditions.

Despite initially promoting offshore wind as a pivotal energy transition market, challenges like soaring costs, supply chain disruptions, and rising interest rates have eroded profit margins, prompting companies, including Shell, to reassess investments. Shell will continue existing offshore wind projects but has exited several in regions such as South Korea and the U.S.

｜Vietnam to Deploy Offshore Wind Power Project for Export to Singapore from 2030
Vietnam and Singapore are collaborating on an offshore wind power project to export renewable energy from Vietnam to Singapore starting in 2030. This initiative aligns with Singapore’s goal to import 4-6 GW of clean energy from the region by 2035, aiding its net-zero target by 2050. Renewable electricity will be transmitted via underwater cables, marking a significant step in Vietnam-Singapore energy cooperation.

In recent milestones, Petrovietnam Technical Services Corp. (PTSC) and Singapore's Sembcorp Utilities formalized agreements for a 2.3 GW offshore wind project in February 2023. PTSC obtained survey permits in August 2023, while Sembcorp received conditional approval to import 1.2 GW of electricity in October 2023. Joint technical surveys began in August 2024 to advance this landmark renewable energy project.

Reference: todayenergy KR｜The Investor VN/