Norsepower attracts investment from oil and gas sector
Norsepower the developed of the Rotor Sail renewable wind energy propulsion system has announced that OGCI Climate Investments has led an €8 million investment round in Norsepower, along with current investors, to accelerate Norsepower’s growth on global markets.
OGCI is a voluntary CEO-led initiative taking practical actions on climate change. OGCI members are drawn from leading oil companies including BP, Chevron,Exxon Mobil, Shell, Total and Equinor.
The investment enables Norsepower to scale up production at its manufacturing facilities as part of a next phase of commercialisation triggered by demand for its renewable wind energy propulsion systems. The increased take-up comes at a time when the international shipping industry looks to offset expensive fuel costs - that are likely to increase following the IMO’s 2020 global sulphur cap - and prepare for IMO GHG emissions targets in 2030 and 2050.
To date, Norsepower’s Rotor Sails, which are a modern iteration of Flettner rotors, have been installed onboard three vessels, including Bore’s Estraden, a 9,700dwt Ro-Ro carrier, Viking Line’s LNG–fuelled cruise ferry Viking Grace and Maersk Tanker’s 110,000dwt Maersk Pelican. Norsepower has also recently started delivery project of a Rotor Sail to a hybrid ferry owned by Danish shipping company Scandlines.
Since its establishment in November 2012, Norsepower has raised more than $24 million of funding. In addition to OGCI Climate Investments, European venture capital funds and private investors, Norsepower has been funded by the European Commission and the Finnish Funding Agency for Technology and Innovation.
Speaking on the announcement, Tuomas Riski, CEO, Norsepower, said, “We are very excited to be partnering with OGCI Climate Investments on this initiative, which will leverage the expertise and capabilities of both organisations to scale our Rotor Sail Solution. Importantly, this partnership will also allow Norsepower to deliver cleaner solutions for the oil tanker market as it strives to increase sustainability and decarbonise in its role as a critical vehicle for the world economy.”
Pratima Rangarajan, CEO of OGCI Climate Investments, added, “Improving energy efficiency is fundamental to reducing carbon emissions.