Ocean Energy Group Going to Sea

Construction has been completed on an energy converter designed by engineers at Ocean Energy Group, a wave energy technology developer.  Based in County Cork, Ireland, Ocean Energy is among many after the potentially large market for marine renewable energy.  The company estimates that energy in the oceans off the coast of the U.S. could meet as much as 15% of the country’s electricity needs.  At current electricity prices that represents a market value of about $100 billion per year.

Constructed by Vigor Industries, an experienced producer of ocean-going devices, the Ocean Energy Buoy is made with 826 tons of steel and measures 125 feet by 59 feet with a draft of 31 feet.  The design relies on an oscillating water column and only one moving part.  Waves roll into three underwater compartments that push air up through a turbine above the water line.  The turbine captures energy that is converted to electricity.  When the waves roll out, a vacuum is created that will also generate power in the other direction. 

The buoy is intended to survive the most extreme ocean conditions.  For example, the mooring system is designed to withstand gale-force winds.  Exhilarating video of test deployments in the Atlantic Ocean is provided on the company’s website.   

The prototype produced by Vigor will be tested of the coast of Hawaii beginning in late 2019.  The buoy will be deployed at the U.S. Navy Wave Energy Test Site (WETS) on the windward side of the O’ahu.  The WETS facility allows the U.S. Navy to evaluate the technical and economic feasibility of wave energy conversion systems and gather data for commercial applications.    Deployment of the Ocean Energy Buoy will be the first grid-scale project on the site with a capacity of 1.25 megawatts of electrical power production. 

The U.S. Department of Energy is providing financial support for the project that is estimated to require a total of $12.5 million to construct the buoy and deploy it at the U.S. Navy test site.  The Sustainable Energy Authority of Ireland is also providing funding.

Investors will have to stay on the sidelines where Ocean Energy is concerned  -  at least for  awhile.  It is a portfolio company of Enterprise Ireland, a government agency that promotes private Irish firms.  Nonetheless, it is worthwhile to watch this project to evaluate the overall potential of wave energy. 

  

Neither the author of the Small Cap Strategist web log, Crystal Equity Research nor its affiliates have a beneficial interest in the companies mentioned herein.