Agreement Announced to Acquire Offshore Wind Lease From Avangrid

Dominion Energy has agreed to acquire the Kitty Hawk North Wind offshore wind lease and associated developments from Avangrid for approximately US$160 million.

The deal for the site, now known as CVOW-South, is inclusive of payment of about US$3000/acre for the nearly 40,000-acre lease. CVOW-South would have a capacity of 800 MW and the project would connect to the company's transmission grid. Dominion Energy is acquiring the CVOW-South through its subsidiary Virginia Electric and Power Company. Dominion Energy and Avangrid expect to close the transaction in Q4 of 2024.

Virginia Electric and Power Company is constructing the 2.6GW CVOW, located about 25 miles north of the CVOW-South lease. CVOW continues to be on-time and on-budget with in-service expected by the end of 2026. To date, 25 monopiles have been installed since the installation campaign began in May 2024, consistent with the company's target of 70-100 monopiles during the first of two installation seasons that run through the end of October 2024.