CHESAPEAKE, Va. — Governor Glenn Youngkin came to Chesapeake on Tuesday to announce a major economic development project.
The governor said that South Korea-based LS GreenLink will invest $681 million to build a state-of-the-art facility to manufacture high-voltage subsea cables used for offshore wind farms.
Youngkin said it will create more than 330 full-time jobs.
“LS GreenLink’s investment in Virginia will showcase the Commonwealth as a leader in offshore wind industry manufacturing,” Youngkin said in a news release. “LS GreenLink has recognized that Virginia has the skilled talent, world-class logistics location, and business environment that will allow it to serve its growing global customers for submarine power cables.”
The new facility, which is the first offshore wind cable manufacturer in the United States, will be built on approximately 100 acres of brownfield in Chesapeake. Managing director Patrick Shim said the company's use of the site will prove its environmental standing. Shim explained, "we will be spending a lot of money to do cleanups, so we will actually be improving the environment. We will also be building a large pier and working on our waterfront as well."
LS Greenlink leaders showed off cross-section samples of the cables, which have a copper core, a layer of insulation and materials to protect from underwater elements.
U.S. Senators Mark Warner and Tim Kaine, along with Rep. Bobby Scott, noted that $100 million in tax credits from the Inflation Reduction Act made it possible to bring LS GreenLink to Chesapeake.
“The Inflation Reduction Act continues to deliver. Thanks to this once-in-a-generation legislation, the clean energy industry is growing, and Virginia is benefiting,” Warner said in a statement. “This LS GreenLink facility will help support the burgeoning U.S. offshore wind industry, bring hundreds of jobs to Hampton Roads, and spur investment the region.”
The Inflation Reduction Act, passed into law entirely on party lines in 2022, incentivizes clean energy investments. Funding was also made available through the Commonwealth's Development Opportunity Fund.
Secretary of Commerce and Trade Caren Merrick said Virginia was one of 15 states in the running for the facility and that when built, it will be the tallest building in the Commonwealth. A 660-foot tower used in the manufacturing process will take the title from Virginia Beach's Westin building in Town Center.
"This transformative project not only strengthens our local economy, but also solidifies Chesapeake’s status in the offshore wind manufacturing industry," added Chesapeake Mayor Rick West. "The significant job creation and investment from LS Greenlink are a testament to our city’s commitment to clean energy projects."
Tuesday's visit comes just one day after Dominion Energy announced it purchased 40,000 acres of property, currently known as Kitty Hawk North Wind, to eventually expand its coastal offshore wind project, based in Virginia Beach. The site was owned by Avangrid, and Dominion Energy has plans to rename it Coastal Virginia Offshore Wind (CVOW)-South.
"We are always looking for those opportunities for potential offshore wind development to bring that power to our customers," said Dominion Energy representative Jeremy Slayton.