Next Steps in Gulf Offshore Wind Energy Leasing Process Announced

WASHINGTON — The Bureau of Ocean Energy Management is eyeing 2026 for its next offshore wind-related lease sale in the Gulf of Mexico.
The agency announced its decision last week, after determining that there is competitive interest in two wind energy areas in the Gulf that were being sought by Hecate Energy Gulf Wind LLC.
Hecate Energy, a company best known for its large-scale, land-based solar projects, unveiled its plan to build a 133-turbine wind farm in the Gulf last summer after the Biden administration pulled the plug on a planned lease auction in July due to lack of bidder interest.
A previous lease sale for wind energy development, in 2023, was nearly as disappointing, drawing only one bidder — the German wind energy juggernaut RWE.
Though Hecate has no experience in the offshore wind sector, it premised its pitch to federal regulators on the fact that its interest would encourage others to take a second look at the Gulf.
They turned out to be more right than they likely imagined.
It wasn’t more than two weeks after Hecate Energy made its proposal that another firm, Invenergy, proposed erecting 140 turbines in roughly the same areas, known as Wind Energy Areas options C and D, which are located about 25 miles off the coast from Galveston, Texas.
Since then officials at BOEM have deemed both companies “legally, technically, and financially qualified” to hold a renewable energy lease in the Gulf of Mexico.
“The Gulf of Mexico remains an attractive option for offshore wind energy development,” said Gulf of Mexico Regional Director Jim Kendall in a written statement.
“We are excited about the future of this emerging sector in the region,” Kendall added.
The agency said now that it has targeted 2026 for the next lease sale, it will continue to evaluate which portions of WEA options C and D, and other potential WEA options, are best suited for sale.
It also said it will release draft WEAs for public input early next year.
A notice announcing the determination of competitive interest was published in the Federal Register on Dec. 13, 2024.
For more information on the notice and offshore wind energy in the Gulf of Mexico, see the BOEM website.
Dan can be reached at [email protected] and at https://twitter.com/DanMcCue
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