UK-based energy service contractor Global Energy Group (GEG) and Spanish wind energy engineering firm Haizea Wind Group have agreed to build an offshore wind tubular rolling facility in the Scottish Highlands.

The Nigg Offshore Wind (NOW) facility will be built at the Port of Nigg with an investment of more than £110m ($146m).

The 450m-long facility will cover a 38,000m² area and deliver large tubular components for fixed and floating offshore wind projects.

It will have the capacity to produce almost 135 towers a year, as well as other components such as transition pieces, suction buckets and bespoke tubular structures, for the domestic and overseas offshore wind industries.

The NOW factory will be equipped with rolling machinery robotics and a new blast and paint shop.

Subject to financial close, the facility will receive £15m in debt from SSE Renewables, in addition to senior debt financing from Sequoia Economic Infrastructure Income Fund, which will be subject to due diligence and approvals.

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Mainstream Renewable Power has also agreed to provide £5m in debt and will become a strategic partner in the facility’s long-term development.

The Scottish Government is expected to provide funding for the NOW facility through Highlands and Islands Enterprise.

In addition, the UK Government will offer funding support to the facility through the offshore wind manufacturing investment support scheme.

Global Energy Group CEO Tim Cornelius said: “The announcement today of a state-of-the-art tower rolling factory at the Port of Nigg can and will be a leading example of the ‘green recovery’ in action.

“It will create more than 400 direct long-term, high-value jobs, and will offer our existing clients and new customers from around the world with the opportunity to buy Scottish – meaning offshore wind developers can achieve their local content targets whilst helping the UK economy recover in a green and sustainable way.

“The facility will also create more than 1,000 indirect jobs in the Scottish and UK supply chain.”