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Aker Wins Pivotal Balwin2 Contract to Fabricate HVDC Steel Substructure
Saturday, May 31, 2025
Synopsis: - Aker Solutions will fabricate the steel substructure for the 2-GW BalWin2 offshore HVDC converter station for Germany’s Amprion Offshore, under a significant contract awarded by Dragados Offshore. Construction will take place at Aker’s Verdal yard in Norway from 2026 to 2029.
Aker Solutions Deepens Role in German Offshore Energy
Aker Solutions ASA, the renowned Norwegian engineering firm, has secured a major contract to deliver the steel substructure for the BalWin2 high-voltage direct current converter platform. This project, part of Germany’s aggressive expansion in offshore wind, is being led by transmission system operator Amprion Offshore GmbH. The 2-GW BalWin2 grid connection will transfer renewable energy from the North Sea to mainland Germany, playing a key role in the country’s Energiewende policy to decarbonise its power grid.
The new agreement marks the activation of an optional clause within Aker’s earlier deal signed in February 2025, under which it was selected to provide the same substructure for the BalWin1 converter platform. The BalWin systems are critical components of Germany’s long-term energy infrastructure, expected to integrate multiple offshore wind farms and boost the capacity of green electricity supplied to the grid.
Strategic Extension by Dragados Offshore
The contract was awarded by Dragados Offshore SA, a key EPC player based in Spain, known for large-scale offshore and onshore energy infrastructure projects. By extending the scope of the original BalWin1 contract to include BalWin2, Dragados Offshore demonstrates confidence in Aker Solutions’ capability to deliver industrial-scale steel platforms on time and within budget.
“This award shows the strength of our collaboration and the benefits of continuity. By building on our work for BalWin1, we will enhance project execution, reduce costs, and ensure delivery excellence,” said Sturla Magnus, Executive Vice President, New Build at Aker Solutions. “We are proud to contribute to Germany’s transition to renewable energy with this critical infrastructure.”
Magnus also noted that Dragados’ decision to continue with Aker is not just a commercial endorsement but a signal to the market of the importance of standardisation and trusted engineering partnerships in Europe’s green transition.
Work to Commence in Verdal, Norway
The fabrication and construction work will be carried out at Aker Solutions’ industrial yard in Verdal, located along Norway’s Trondheimsfjord. The yard is a strategic asset, known for manufacturing complex offshore oil, gas, and renewable structures. Early engineering and procurement activities will start in Q1 2026, followed by physical construction in Q1 2027. The completed substructure is scheduled for delivery in 2029.
The scope includes detailed fabrication engineering, procurement of raw materials, heavy steel construction, and integration of foundation elements for the offshore HVDC converter platform. The substructure will eventually be installed in the North Sea as part of the larger BalWin2 system.
“The Verdal yard has a proven track record in delivering high-quality offshore platforms. We will leverage our expertise and digital tools to deliver safely, on schedule, and with optimal precision,” said Magnus.
BalWin2: An Engine of Germany’s Offshore Expansion
The BalWin2 offshore grid connection system is one of several projects initiated by Amprion Offshore GmbH, a subsidiary of German transmission system operator Amprion GmbH. The 2-GW HVDC converter platform will collect energy generated from multiple offshore wind farms in the German Bight and transmit it to onshore substations with minimal losses.
Germany is targeting 70 GW of offshore wind capacity by 2045. HVDC systems like BalWin2 are critical in achieving this target, as they allow transmission of electricity over hundreds of kilometers without significant energy loss, unlike traditional alternating current (AC) systems.
The BalWin projects are aligned with the German government's Grid Development Plan and are part of the wider European Union effort to integrate renewable energy across national boundaries, including future interconnections with the Netherlands, Denmark, and Norway.
Contract Value & Strategic Significance
Aker Solutions classifies the contract as “significant,” indicating a value between NOK 1.5 billion ($147.4 million) and NOK 2.5 billion ($245.6 million). The revenue will be recognised in the company’s order backlog across the 2026–2029 period. This places BalWin2 among the top strategic projects for Aker over the coming years.
“Securing this contract not only demonstrates our leading position in offshore structures, it also confirms our ability to contribute meaningfully to Europe’s energy infrastructure,” noted Kjetel Digre, CEO of Aker Solutions. “This is a major step forward in building a low-carbon economy through cross-border industrial cooperation.”
The Power of Standardisation & Efficiency
One of the key enablers for Aker Solutions' dual role in BalWin1 and BalWin2 is its application of standardised processes. According to the company, repeating proven engineering methodologies and design templates will reduce fabrication time and increase cost-efficiency.
“By standardising elements across both converter platforms, we minimise engineering hours, streamline logistics, and increase fabrication accuracy,” said Magnus. “These efficiencies directly translate to cost savings and faster delivery.”
Standardisation also plays a crucial role in sustainability, as repeated design patterns reduce waste, emissions, and energy consumption during manufacturing. This approach supports the company’s broader ambition to achieve net-zero emissions by 2050.
European Supply Chain Collaboration
The BalWin2 contract also represents a strong example of regional industrial collaboration. Norwegian engineering know-how, Spanish construction expertise, and German transmission leadership have converged to create a vital piece of Europe’s renewable future. This cross-border model is seen as a blueprint for future energy infrastructure developments in the continent.
With rising demand for HVDC systems across the North Sea, Baltic Sea, and Atlantic coasts, companies like Aker, Dragados, and Amprion are setting the benchmark for agile, cooperative execution of large-scale projects. The European Commission has already emphasised the need for “an integrated offshore electricity grid” to meet the continent’s climate goals.
Key Takeaways
Aker Solutions will fabricate the steel substructure for Germany’s 2-GW BalWin2 HVDC converter station, with construction beginning in 2027 and delivery in 2029.
The contract, worth up to $245.6 million, was awarded by Dragados Offshore and builds on Aker’s earlier BalWin1 deal.
Standardisation, digital tools, and collaboration across Norway, Spain, and Germany underpin the project’s cost and time efficiencies.
